BEIJING: Chinese President Xi Jinping on Wednesday reaffirmed China’s commitment to invest in Pakistan despite obstacles created in recent years by security concerns and the global economic slowdown.
Xi Jinping cited the “all-weather strategic partnership” between the countries during a meeting in Beijing with Prime Minister Shahbaz Sharif, according to the official Xinhua news agency.
Pakistan had been struggling with a balance of payments crisis even before devastating floods hit the country this summer, causing an estimated $30 billion or more in losses. Islamabad was expected to seek debt relief from Beijing, particularly the rolling over of bilateral debt of around $23 billion.
China’s central bank and the State Bank of Pakistan (SBP) have signed a memorandum of cooperation recently for the establishment of an RMB clearing arrangement in Pakistan, in a bid to facilitate the use of RMB for cross-border transactions by enterprises and financial institutions in both countries, the People’s Bank of China (PBOC) said on Wednesday.
China and Pakistan should also move forward more effectively with the construction of their economic corridor, as well as accelerate the construction of infrastructure for the Gwadar Sea Port, Jinping told Sharif during their meeting at the Great Hall of the People — a state building in Beijing used for legislative and ceremonial activities.
Sharif and Jinping also agreed to strengthen multilateral cooperation in diverse fields, including China-Pakistan Economic Corridor (CPEC) and strategic partnership, reported the state-owned Associated Press of Pakistan.
Prime Minister Muhammad Shahbaz Sharif met Chinese President Xi Jinping. Both leaders discussed mutual cooperation in all areas of bilateral relations, especially #CPEC projects and agreed to further strengthen strategic partnership.#PMShehbazinChina pic.twitter.com/NdKp6nmkXW
— Prime Minister’s Office (@PakPMO) November 2, 2022
Sharif, who met President Jinping just a week after he cemented his place as the most powerful Chinese leader since Mao Zedong, arrived in Beijing on a two-day trip on Tuesday, his first state visit to the neighbouring nation after assuming office in April.
Prime Minister Muhammad Shehbaz Sharif arrives in Beijing on his two-day official visit of China, today. #PMShehbazinChina#PakPMInChina#SharedDestiny 🇨🇳 🇵🇰 pic.twitter.com/RguiG6Xr9m
— Prime Minister’s Office (@PakPMO) November 1, 2022
The Foreign Office said the trip is being undertaken at the invitation of Sharif’s Chinese counterpart Li Keqiang, and that the prime minister is joined by Foreign Minister Bilawal Bhutto-Zardari and high-ranking officials of his administration.
The visit follows Sharif’s meeting with Jinping on the sidelines of the Shanghai Cooperation Organisation (SCO) summit in Uzbekistan on September 16.
CHINA ‘KEEN’ TO INVEST IN PAKISTAN
Meanwhile, leading businesses of China have shown “keen interest” to invest in solar, water and other infrastructure projects across Pakistan, APP reported.
The prime minister invited several heads of Chinese businesses to visit Pakistan and invest in the government’s comprehensive solar power project aimed at generating 10,000-megawatt electricity, his office said.
He also encouraged Chinese investment in Pakistan’s alternative energy resources including wind turbine power plants.
Sharif stressed the early completion of the infrastructure of Gwadar international airport, to which the Chinese companies assured to complete the project by early 2023.
بیجنگ: وزیرِ اعظم شہباز شریف کی چین کے صدر شی جن پنگ سے ملاقات 🇵🇰 🇨🇳 #PMShehbazinChina
چین اور پاکستان کے درمیان باہمی تعاون پر بات چیت کی گئی۔ دونوں رہنماؤں نے چین اور پاکستان کے مابین سی پیک سمیت کثیر جہتی تعاون بڑھانے اور اسٹریٹجک پارٹنرشپ مزید مضبوط کرنے پر اتفاق کیا۔ pic.twitter.com/XeEDjIjHNB— President PMLN (@president_pmln) November 2, 2022
The prime minister, in a meeting with investors and businessmen, said his government has resolved several issues pertaining to them and had paid them the pending dues of Rs160 billion. An amount of Rs50 billion was paid to them just on Monday, he recalled.
He said a revolving fund had been established by the State Bank of Pakistan (SBP) on the directive of Finance Minister Ishaq Dar with a seed money of Rs50 billion.
He regretted the obstacles allegedly faced by the Chinese companies in the past on matters concerning the payment of imported coal.
He vowed to address on priority the issues relating to the land acquisition for the construction of the Diamer-Bhasha Dam and other hurdles in the way to completion of the Mohmand Dam.
Sharif assured the provision of strict security to the Chinese personnel working in Pakistan and said that across-the-board security would be ensured for those deputed on the CPEC projects and other joint initiatives.
He extended condolences over the death of Chinese men and women who lost their lives while working in Pakistan.
To address the water shortage in Karachi, the prime minister said the Centre along with the Sindh government was ready to collaborate with the Chinese companies to resolve the issue.
Sharif expressed confidence that strong business and investment linkages between Pakistan and China would lead to the further cementing of bilateral relations.
He thanked the Chinese companies for taking a special interest in Pakistan’s development projects particularly the Gwadar Port, ML-1 railway track and several other projects.
He also expressed gratitude for the generous support extended by China in the wake of recent floods in Pakistan.
— With input from AP, Reuters
