CPEC : Pakistan Army To Gain ‘Control’ Of $60 Billion Belt & Road Projects
Dated : 15 Dec 2020 (IST)
In 2019, the Imran Khan government had passed an ordinance to establish the China-Pakistan Economic Corridor Authority (CPECA) for timely execution of big-ticket CPEC projects.
It was widely speculated that CPECA was established to please China, which had expressed dismay over the slow progress on the CPEC front and wanted the army to get directly involved.
Not surprisingly, Prime Minister Imran Khan’s close aide Lt General Asim Saleem Bajwa (Retd) became the first chairman of the authority.
Ever since its establishment, the CPECA had been facing flak from lawmakers in Pakistan as it undercut the role of the civilian government and functioned as a “parallel authority.” The ordinance lapsed in May this year.
According to reports in Pakistani media, Bajwa continued to preside over the CPEC well beyond May despite having no legal sanction to do so. This raised eyebrows within the country, with several opposition leaders questioning the legal status and functioning of the authority after the expiry of the ordinance. Concerns were particularly raised since Bajwa was involved in a major corruption scandal earlier this year and had to quit as the special advisor to Prime Minister Khan.
Pakistan now has cleared a bill in Parliament that will virtually give the powerful army sweeping control over the $60 billion Economic Corridor (CPEC) projects while diminishing the role of the civilian government. The proposed law has caused discomfort in the opposition ranks and sparked concerns over the possible implications of establishing a “parallel government”.
Over the last few months, the Pakistan government has been working on a draft bill that seeks to reinstate the controversial CPEC Authority. In November, a parliamentary committee finally cleared the CPEC Authority Bill 2020 in the National Assembly. The proposed law will be put to a final vote in the second week of December.
But the devil is in the details.
The bill will not only pave way for the official return of the CPEC Authority, but will give the Pakistani army far greater control over CPEC. According to a report on Nikkei Asia, the proposed law will allow Bajwa to replace the planning minister as co-chair of a Pakistan-China joint committee and eliminate the role of the planning ministry as an administrative division and the authority.
“A new post of chief of staff is also being proposed in the bill and the position of CEO is proposed to be scrapped. Presently, the CEO is a top officer from the bureaucracy. The two positions of executive directors are proposed to be abolished,” the report said.
Most importantly, Bajwa would report directly to PM Imran Khan instead of the planning ministry. Observers feel this would give the army sweeping influence over the key projects since Khan is considered close to the military, with critics often giving him monikers such as “selected PM” or “puppet ruler”.
The report said that the law seeks to grant legal immunity to CPECA officials, which will make them unaccountable for tens of billions of dollars spent on the projects and put them outside the purview of Pakistani courts.
The law further stipulates that the CPECA chairman will have the power to order a probe against any official who refuses to cooperate with the agency.
Military control over the CPEC project benefits China in more ways than one, according to various experts. Sources in Pakistan’s planning ministry have stated that China wanted to be directly involved in CPEC — part of its ambitious Belt and Road Initiative — to expedite the pace of the projects.
Ensuring a healthy pace of BRI projects in Pakistan is crucial for Chinese ambitions as it seeks to expand its influence in the South Asian region, even if it comes at the cost of financially draining the partner nations. Pakistan is among the eight countries most at risk of falling into debt distress due to China’s BRI projects.
The report said that nations like Pakistan are staring at rising debt-to-GDP ratios beyond 50 percent, with at least 40 percent of external debt owed to China once BRI lending is complete. Moreover, greater involvement of the army will also serve to address China’s security concerns vis-a-vis Baluchistan and Gilgit-Baltistan.
Several Chinese contractors and engineers working in the Baluchistan and Sindh regions have been kidnapped and killed over the last few years. Thus, Bajwa’s previous position as the former head of the army’s Southern Command, which covers the province of Baluchistan, will allay some of these concerns.
“Bajwa was undoubtedly selected out of a belief that he could address security concerns in particular. Beijing is worried about terrorism in Baluchistan, where separatists have stepped up attacks on Chinese targets in recent years,” wrote commentator Arif Rafiq in an article on Foreign Policy.
The CPEC project, which links China’s western city of Kashgar to the Pakistani port of Gwadar on the Arabian Sea, also passes through the Pakistan-occupied Gilgit-Baltistan. The region is the gateway of the CPEC infrastructure plan.
“With the Gilgit-Baltistan coming under its ambit, the Pakistan army’s role is even more crucial as the region has remained disputed for decades but at the same time, it is important for China as well as Pakistan to have control over this area for the construction of CPEC,” an analyst on condition of anonymity told news agency IANS.
Without Gilgit-Baltistan, the Chinese will have limited access to Gwadar.
According to media reports, Pakistan decided to elevate Gilgit Baltistan to a fully-fledged province under pressure from the Chinese government. Activists claim the move was aimed at addressing China’s concern about the region’s disputed status. India has out rightly condemned this move, calling it Pakistan’s bid to camouflage its illegal occupation of the region.
