Although the China-Pakistan Economic Corridor (CPEC) is meant to be a cornerstone of Beijing’s “Belt and Road Initiative”, it is facing significant delays as the Pakistan government is unable to resolve impending matters.
This threatens to make Chinese investors unwilling to pour billions more into Pakistan’s struggling economy.
According to local media, most of the orders passed in an August Pak-China Steering Committee were not implemented.
The Express Tribune reported that as many as five CPEC power projects were set for the end of August.
Due to this, investors are under threat of paying penalties due to the delays, which the newspaper reported was partly because of policy decisions made by Islamabad.
This delay has caused frustration for Chinese investors, who are complaining about the delay.
As CPEC is a cornerstone of the BRI, China has invested billions into Pakistan despite the country’s support for terrorist organisations who often target neighbouring India, particularly over Jammu and Kashmir.
As China builds Pakistan’s infrastructure, it allows Islamabad to spend more funds on terrorist organisations that it otherwise would not have.