China's funding for the China-Pakistan Economic Corridor down 56%

Tags: International News

China's funding to Pakistan for the China Pakistan Economic Corridor (CPEC) declined by about 56% in the first half of 2022.

IMPORTANT FACTS -

• Other countries such as Russia, Egypt and Sri Lanka saw a 100% drop of BRI engagement compared to 2021.

• The project is running from Gwadar port in Pakistan to Kashgar city in Xinjiang, China.

• The project is not running as per the initial promise due to lack of transparency, debt problem, poor management and corruption.

• The project is facing local opposition and frequent attacks on the project and its personnel in Pakistan and other security challenges.

• Apart from this, the deteriorating economic condition of Pakistan is also affecting the project.

• According to reports, China has recently asked for its military presence in Pakistan to safeguard and look after the project.

• China's Belt and Road Initiative (BRI) project, on the other hand, is also facing global criticism for its inadequate transparency of loans.

China Pakistan Economic Corridor (CPEC) :

• It is a project connecting China's northwestern Xinjiang Uygur Autonomous Region and Gwadar Port in Pakistan's western province of Balochistan.

• The length of this project is 3,000 km.

• It is a bilateral project between Pakistan and China. 

• It aims to promote connectivity across Pakistan through a network of energy, industrial and other infrastructure development projects, highways, railways and pipelines.

• It is a part of China's Belt and Road Initiative (BRI).