Pakistan and China agree to extend CPEC to Afghanistan

• Pakistan, China and Afghanistan have agreed to forge closer economic ties by extending the Beijing-backed China-Pakistan Economic Corridor (CPEC) to Afghanistan
• It aims to fully harness the country’s potential as a hub for regional connectivity.
• This agreement was done during the 5th China-Afghanistan-Pakistan Foreign Ministers’ Dialogue
• The need to prevent any group from using their territories for terror activities against any nation was also underlined

About China-Pakistan Economic Corridor (CPEC)

• It is the flagship project of the multi-billion-dollar Belt and Road Initiative (BRI)
• It is aimed at enhancing Beijing’s influence around the world through China-funded infrastructure projects.
• The 3,000 km-long China–Pakistan Economic Corridor (CPEC) consists of highways, railways, and pipelines.
• CPEC eventually aims at linking the city of Gwadar in South Western Pakistan to China’s North Western region Xinjiang through a vast network of highways and railways.
• The proposed project will be financed by heavily-subsidised loans that will be disbursed to the Government of Pakistan by Chinese banks.

India’s Concerns on Afghanistan joining CPEC

• Chabahar Port
  • The primary concern with Afghanistan joining CPEC is that India is apprehensive of its investment in Chabahar port in Iran.
• China’s influence:
  • In Afghanistan, China is trying to fill the vacuum created after the US forces left Afghanistan economically and get its Belt and Road (BRI) initiatives going.
  • With the Extension of CPEC, China will play a leading role in Afghanistan overpowering India’s economic influence in Afghanistan.
  • India is apprehensive of undermining the India–Iran–Afghanistan trilateral that gives Afghanistan access to the sea via Chabahar port.
• Weakening of India’s Economic Influence:
  • Attempts to extend CPEC to Afghanistan may undermine India’s position as an economic, security and strategic partner of Afghanistan.
• US$2 billion at stake:
  • India has been the biggest regional donor to Afghanistan investing more than US$2 billion for developmental work like construction of roads, power plants, dams, parliament building, rural development, education, infrastructure and much more.
• Rare-earth metals:
  • These are key components for a variety of advanced electronic technologies and hi-tech missile guidance systems
  • These will be exploited by China with the extension of CPEC.
• Terrorism and Strategic Concerns:
  • Given India’s limited strategic depth in Afghanistan, China is in a better position to leverage its strategic advantages in Afghanistan.
  • It will also help Pakistan gain the strategic advantage and upper hand in Afghanistan at the cost of India.
  • Pakistan can facilitate the use of terrorism against India.
• Control of Strategic Air Base and ports:
  • China may try to take over the Bagram air force base in Afghanistan.
  • The Bagram airport is the biggest airport and technically well-equipped as the Americans kept it for their use till the end, instead of the Kabul airport.
  • China has a history of building military bases on the ports and air bases acquired on foreign lands in lieu of loans provided.

Prelims take away

• CPEC
• Chabahar Port