Mission to China: Pakistani Prime Minister seeks additional loans and investments
Pakistani media reported that Islamabad is considering a $3 billion loan from China in addition to hopes for Chinese investment in six sectors.
The English-language Pakistani daily Express Tribune recently reported that the government is considering asking China to approve another $3 billion loan, which could be kept by China’s State Administration of Foreign Exchange (SAFE) in order to increase its foreign exchange reserves.
Islamabad is also seeking Chinese investment in the textile, footwear, pharmaceuticals, furniture, agriculture, automotive and information technology industries. “The government should tell the 75 Chinese companies that it could provide access to trade routes to the Middle East, Africa and the rest of the world, offering greater incentives in the form of lower shipping costs. freight,” according to the Express Tribune. report.
Economist Kaiser Bengali believes that Pakistan is now 100% dependent on China for financial and economic aid. He told German news outlet DW that the immediate purpose of the visit was to solicit the loan from Beijing, reflecting Pakistan’s growing reliance on China.
“While IMF conditions are made public, China keeps loan and project conditions secret, raising suspicions,” he said.
Baloch nationalists fear that if Pakistan does not repay its loans, China will seek mining contracts in the mineral-rich province at a hugely reduced rate – or possibly take over the port.
Bengali told DW that those suspicions are heightened by the secrecy surrounding Chinese development projects and the terms of the loans.
Pakistan returns the favor by granting China access to the Indian Ocean and supporting the country in various international forums. It is also silent on reports that the Chinese government has forced Uyghur Muslims to eat foods prohibited by Islam.