What Is China Doing To Pakistan? The Same Thing It Did To Sri Lanka

[TruthTheOnlyDefense]

(BANARAS KHAN/AFP/Getty Images)

One day, China will turn Pakistan into its own “semi-colony,” as it did recently with Sri Lanka.

China has been nice to Pakistan, on the surface that is. It has been building the China Pakistan Economic Corridor (CPEC), which will connect Western China with the Indian Ocean, provided of course that India will allow it.

That could certainly benefit Pakistan, helping the country make a big step forward, from an emerging to a mature economy, creating a lot of jobs in the process.

But it could hurt Pakistan, too. Like adding to Pakistan’s corruption, which keeps pushing the costs of the project higher by the day, making Pakistan more indebted to China, which has been financing the project.

Rising indebtedness comes at a time when the country is already living beyond its means, as evidenced by persistent current account deficits, government debt, and external debt.


Pakistan recorded a Current Account deficit of 3867 USD million in the fourth quarter of 2017, according to Tradingeconomics.com. The country’s Current Account averaged -587.18 USD million from 1976 until 2017, reaching an all-time high of 1418 USD million in the Q3 of 2002 and a record low of -4419 USD million in the Q2 of 2017.

Pakistan accumulated a government debt equivalent to 67.20% of the country's Gross Domestic Product in 2017. The country’s government debt to GDP averaged 69.30% from 1994 until 2017, reaching an all-time high of 87.90% in 2001 and a record low of 56.40% in 2007.

External Debt in Pakistan jumped to 88891 USD million in the fourth quarter of 2017 from 85052 USD million in the third quarter of 2017. The country’s external debt averaged 53029.34 USD Million from 2002 until 2017, reaching an all-time high of 88891 USD million in the fourth quarter of 2017 and a record low of 33172 USD million in the third quarter of 2004.

Meanwhile, Pakistan’s foreign currency reserves and foreign capital flows are falling, making it increasing likely that Pakistan will seek to reschedule its debt to China. Perhaps, by swapping debt with equity, which in essence will handle CPEC to Beijing.

That’s the model China applied in rescheduling Sri Lanka’s debt, turning the country’s Hambantota port officially into China’s own port, for 99 years. That’s according to a landmark agreement signed early last year, which gives China Merchants Ports Holdings—an arm of the Chinese government—70% stake in the Indian Ocean’s prominent outpost.

As was the case with CPEC, the Hambantota port expansion began with loans from China. But when Shri Lanka could not pay back the loans, Beijing converted these loans to equity, in essence turning Sri Lanka into a "semi-colony," in a subtle way.

That’s what will eventually happen to Pakistan when China takes over CPEC, and end up collecting tolls from every vehicle that passes through.

https://www.forbes.com/sites/panosm...-same-thing-it-did-to-sri-lanka/#9053e53ff538

 

[OIO]

What Is Ameria/India Doing To Pakistan? The Same Thing It Did To Sri Lanka

 

[Pan-Islamic-Pakistan]

We are not interested in your Crocodile tears.

Not seeking the kind of democracy brought to Iraq and Afghanistan. No Thanks.

China is our loyal and dependable friend.

 

[Pubg1]

China owes nothing to Pakistan. Why shouldnt they be hard nosed business men? Its for Pakistan to look after its interests. No sentiments in business.
India faced similar issues with enron type companies after liberalisation. But the tubelight in the government finally switched on that the assured returns enron was seeking in its project were not finacially viable. And the project was scraped.

 

[Myth_buster_1]

without china, Pakistan is a banana republic because of its own stupid faults and by no means China so deeply loves Pakistan.... its all about self interests.

 

[PAKISTANFOREVER]

China owes nothing to Pakistan. Why shouldnt they be hard nosed business men? Its for Pakistan to look after its interests. No sentiments in business.
India faced similar issues with enron type companies after liberalisation. But the tubelight in the government finally switched on that the assured returns enron was seeking in its project were not finacially viable. And the project was scraped.

You know Pakistan must be doing something very right when those who belong to the race and nation that calls for the death and destruction of the Pakistani race and nation are all of a sudden concerned with our economy...........

 

[Pubg1]

without china, Pakistan is a banana republic because of its own stupid faults and by no means China so deeply loves Pakistan.... its all about self interests.

Well a banana Republic is -
"
In political science, the term banana republicdescribes a politically unstable country with an economy dependent upon the exportation of a limited-resource product, such as bananas or minerals. In 1901, the American author O. Henrycoined the term to describe Honduras and neighbouring countries under economic exploitationby U.S. corporations, such as the United Fruit Company. Typically, a banana republic has a society of extremely stratified social classes, usually a large impoverished working class and a ruling-class plutocracy, composed of the business, political and military elites of that society.[1] Such a ruling-class oligarchy control the primary sector of the economyby way of the exploitation of labour;[2] thus, the term banana republic is a pejorative descriptor for a servile dictatorship that abets and supports, for kickbacks, the exploitation of large-scale plantation agriculture, especially banana cultivation.[2]"
In economics, a banana republic is a country with an economy of state capitalism, by which economic model the country is operated as a privatecommercial enterprise for the exclusive profit of the ruling class. Such exploitation is enabled by collusion between the state and favored economic monopolies, in which the profit, derived from the private exploitation of public lands, is private property, while the debts incurred thereby are the financial responsibility of the public treasury. Such an imbalanced economy remains limited by the uneven economic development of town and country, and usually reduces the national currency into devalued banknotes (paper money), rendering the country ineligible for international development credit.[3]"

Pakistan does not have a single export earner.

You know Pakistan must be doing something very right when those who belong to the race and nation that calls for the death and destruction of the Pakistani race and nation are all of a sudden concerned with our economy...........

Frankly Pakistan is just a whipping boy for our political class.
Unfortunately Pakistan has managed to inveigle itself into a average Indian's thought process by acts like the Mumbai attacks.
Many of us who interact with other nationalities , approach everyday issues without nationalistic glasses on.
But its fascinating to me that Pakistanis from the UK hold some of the most regressive viewpoints of all the Pakistanis I have met. Maybe you can tell the reason why?

 

[Sine Nomine]

which will connect Western China with the Indian Ocean, provided of course that India will allow it.

Stopped reading after these lines

Frankly Pakistan is just a whipping boy for our political class.

A boy which gave this man known as Bharat an iron rod not long ago and is nightmare for Bharat

 

[pakpride00090]

China owes nothing to Pakistan. Why shouldnt they be hard nosed business men? Its for Pakistan to look after its interests. No sentiments in business.
India faced similar issues with enron type companies after liberalisation. But the tubelight in the government finally switched on that the assured returns enron was seeking in its project were not finacially viable. And the project was scraped.

Indians showing concerns for us. You can go F*uK yourselves.

 

[Sugarcane]

China has been nice to Pakistan, on the surface that is. It has been building the China Pakistan Economic Corridor (CPEC), which will connect Western China with the Indian Ocean, provided of course that India will allow it.

Which idiot wrote this article?

 

[Lincoln]

Bullshit.

 

[Ahmet Pasha]

I agree with this.

But the fact is Chinese are bound to exploit our naivete and stupidity. When we have old uncles who salivate on white Chinese women and generally have the "gormint afsar" mentality. Also if the local businessmen/industry don't become involved and make sure to develop new products and make sure they get market access in China. Otherwise, Pakistani bazaars will become a mass dumping ground low end cheap Chinese goods. That too without any real tax/tariff. So knowing the narrowmindedness, lack of creativity/initiative I believe we will become Palestine at hands of China.

None of our leaders have made any details/terms about CPEC public. While Americans are not our bestfriends. Quite the contrary in fact. It stands that CPEC at least in my eyes is becoming a great gamble. Cuz Pakistanis are not properly taking charge of the whole game.

No one has to agree with. The Pakistani PDFer will call me Indian. The Chinese PDFer will call me American. But this is what I believe.

You know Pakistan must be doing something very right when those who belong to the race and nation that calls for the death and destruction of the Pakistani race and nation are all of a sudden concerned with our economy...........

 

[Myth_buster_1]

Well a banana Republic is -
"
In political science, the term banana republicdescribes a politically unstable country with an economy dependent upon the exportation of a limited-resource product, such as bananas or minerals. In 1901, the American author O. Henrycoined the term to describe Honduras and neighbouring countries under economic exploitationby U.S. corporations, such as the United Fruit Company. Typically, a banana republic has a society of extremely stratified social classes, usually a large impoverished working class and a ruling-class plutocracy, composed of the business, political and military elites of that society.[1] Such a ruling-class oligarchy control the primary sector of the economyby way of the exploitation of labour;[2] thus, the term banana republic is a pejorative descriptor for a servile dictatorship that abets and supports, for kickbacks, the exploitation of large-scale plantation agriculture, especially banana cultivation.[2]"
In economics, a banana republic is a country with an economy of state capitalism, by which economic model the country is operated as a privatecommercial enterprise for the exclusive profit of the ruling class. Such exploitation is enabled by collusion between the state and favored economic monopolies, in which the profit, derived from the private exploitation of public lands, is private property, while the debts incurred thereby are the financial responsibility of the public treasury. Such an imbalanced economy remains limited by the uneven economic development of town and country, and usually reduces the national currency into devalued banknotes (paper money), rendering the country ineligible for international development credit.[3]"

Pakistan does not have a single export earner.


Frankly Pakistan is just a whipping boy for our political class.
Unfortunately Pakistan has managed to inveigle itself into a average Indian's thought process by acts like the Mumbai attacks.
Many of us who interact with other nationalities , approach everyday issues without nationalistic glasses on.
But its fascinating to me that Pakistanis from the UK hold some of the most regressive viewpoints of all the Pakistanis I have met. Maybe you can tell the reason why?

thats what i love so much about pakistan, a banana republic that has got India on a choke hold for past 70+ years....

 

[Mamadouso]

Is this an article? It is typed up like a school essay

 

[TruthTheOnlyDefense]

I agree with this.

But the fact is Chinese are bound to exploit our naivete and stupidity. When we have old uncles who salivate on white Chinese women and generally have the "gormint afsar" mentality. Also if the local businessmen/industry don't become involved and make sure to develop new products and make sure they get market access in China. Otherwise, Pakistani bazaars will become a mass dumping ground low end cheap Chinese goods. That too without any real tax/tariff. So knowing the narrowmindedness, lack of creativity/initiative I believe we will become Palestine at hands of China.

None of our leaders have made any details/terms about CPEC public. While Americans are not our bestfriends. Quite the contrary in fact. It stands that CPEC at least in my eyes is becoming a great gamble. Cuz Pakistanis are not properly taking charge of the whole game.

No one has to agree with. The Pakistani PDFer will call me Indian. The Chinese PDFer will call me American. But this is what I believe.

This has already happened in India, the Chinese have taken over the Indian economy but then again India is just a disgusting, corrupt, morally bankrupt society. Indians are slaves to China and the thing is they don't even know it yet, that's what happens when you live in a corrupt society.