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Monday March 31, 2025

The positives

By our correspondents
January 09, 2017

Pakistan’s relations with neighbouring and regional countries have entered into a new phase in the recent past due to Pakistan’s change of focus from political relations to strong economic ties. The reason of this transformation is that after the World War II the national economy is the only major element in determining the national power of a country on the international level. Although Pakistan does not enjoy good relations with India due to India’s inflexible attitude towards solution of the Kashmir issue, its bond with China, Russia, Iran and Turkey is much stronger than ever. The $46b CPEC project is the game changer for the whole region along with other projects like IPI and CASA-1000. CASA, Central Asia-South Asia Electricity Transmission and Trade Program, is US$1.17 billion project and it has seven financiers: the World Bank (through the International Development Association, IDA), the European Investment Bank, the Afghanistan Reconstruction Trust Fund, the Islamic Development Bank; the United States Government, the UK Department for International Development, and the European Bank for Reconstruction and Development.

It is the first step towards a regional electricity market based on mutual benefit of central Asian Republics, Pakistan and Afghanistan. The inclusion of Afghanistan in this project will create stability in Afghanistan by improving transportation, industry, and telecommunication system and ultimately stable Afghanistan will be beneficial for Pakistan. This project will cater the energy shortfall of Pakistan and Afghanistan which is basic hindrance in the socio-economic development of both countries. No doubt, Pakistan is trying it’s best to build up positives and minimise negatives through foreign policy tools yet a lot is needed to be done to tackle internal issues adeptly.

Nazia Jabeen

Lahore