PM likely to seek debt relief from China

ISLAMABAD: Prime Minister Shehbaz Sharif is likely to seek debt relief from China during his upcoming visit to Beijing from November 1-2 amid deteriorating economic situation and dwindling forex reserves.

The PM is scheduled to undertake a two-day official visit to China on the invitation of Premier of the State Council of the People’s Republic of China Li Keqiang – the first visit to China since assuming office in April 2022.

Prime Minister Shehbaz Sharif is scheduled to hold talks with the Chinese leadership on a host of issues, prominently the economic cooperation, China Pakistan Economic Corridor (CPEC) and UN Security Council reforms as well as regional.

A senior official of the Foreign Office on condition of anonymity said that although one should not expect that there is going to be a “blast” as a result of the visit, various working level agreements would be signed during the trip which would have a positive impact on the Pakistan’s economy, taking the CPEC forward and further deepening the “all-weather strategic cooperation partnership” between the two countries.

A number of agreements have been finalised to be signed during the visit while some are at the final stage of finalisation and these will be signed later, the official added.

To a question as to whether the Prime Minister will emphasise on debt relief during his meetings with the Chinese leadership, the official said: “These are issues among many others on which the two sides exchange views frequently and we are discussing it [debt relief].” The official added that China is the biggest contributor in financial support to Pakistan.

PM Shehbaz to visit China on Nov 1

Another official of the Foreign Office, however, stated that the issue of the debt relief is a technical matter and the Finance Minister is already in touch with the Chinese side in this regard.

When asked whether Finance Minister Ishaq Dar is also part of the Prime Minister’s delegation in his visit, the official said that Foreign Minister Bilawal Bhutto Zardari is confirmed while the composition of the delegation has not yet been finalised.

On CPEC, the official said that CPEC is definitely an important project and the two countries are committed to take it forward.

She said that the visit is taking place after the 11th Joint Cooperation Committee (JCC) meeting that took place on Thursday and the Prime Minister’s talks with the Chinese leadership will also focus on advancing the CPEC. She added that the focus of the CPEC has now again shifted towards the infrastructure projects.

About the security to Chinese officials, the official said that the government is committed to ensure security of the Chinese officials in the country, adding that the subject remains a talking point of the agenda of the leadership and the Pakistani side update them on the security arrangements as well as the progress in the investigation against the past terrorist attacks against Chinese nationals.

To another question, the senior Foreign Office official said that Pakistan is pursuing a “balanced and independent” foreign policy, adding that Pakistan has a principled position that both China and the United States are important powers and the country has independent relations with both the countries.

Asked whether the work on CPEC projects were stopped during the previous government of former prime minister Imran Khan, the official said that it was a misperception that the work on CPEC was stopped, adding that previously the focus was on the social sector development which has now again shifted to infrastructure development.

About the proposed reforms in the UN Security Council, the senior official of the Foreign Office said that both China and Pakistan are among the countries that are against any expansion in permanent members of the Security Council and the leadership of the two countries would exchange views on the subject during the Prime Minister’s visit.

The official further stated that both the countries would celebrate the next year as a tourism development year and Pakistan expects Chinese nationals to visit Pakistan tourists’ spots which will further enhance people-to-people contact between the two countries.

Copyright Business Recorder, 2022