Where does Imran Khan’s government stand on China’s Belt and Road?
Favourable deals under the China Pakistan Economic Corridor are in the spotlight as Pakistan’s ruling party looks to uncover corruption under the previous administration
As former cricket superstar Imran Khan assumes office as Pakistan’s prime minister vowing to change the way the country is governed, members of his Tehreek-e-Insaf party (PTI) have started to ask embarrassing questions about the perks enjoyed by Chinese companies involved in belt and road projects linking Xinjiang to the Arabian Sea.
Fighting the election on an anti-corruption plank for building a “new” Pakistan, Khan’s party has jump-started its promised public examination of agreements for the China Pakistan Economic Corridor (CPEC) made by the last government led by Khan’s nemesis, Nawaz Sharif.
What will Pakistan’s new leader Imran Khan deliver for China?
Sharif’s government released only piecemeal information about CPEC and its officials often made contradictory claims, fuelling criticism that the agreements were poorly negotiated – as well as allegations of corruption involving members of the Sharif family.
Chairing a senate committee this week, PTI politician Shibli Faraz questioned the “discrimination” of creating a dedicated US$179 million revolving fund to ensure regular partial payments to Chinese power companies.
Pakistan’s power sector is riddled with debt, created by the government’s inability to keep pace with bills owed to fuel suppliers and independent power producers. Responding to complaints from Chinese companies and to avert possible Chinese pullback on future CPEC projects, the revolving fund was agreed upon by the caretaker administration that oversaw Pakistan’s government during the three-month campaign season and transfer of power.