Till now we thought China and Pakistan are very good friends but there are many things why no one should ever trust China. What do you think how China will surround Pakistan when it wants to?
Let us tell this by an incident which happened just few months back.
The above picture is of Hambantota Port in Sri Lanka. After the Civil war ended in 2009 and also the Tsunami, Sri Lanka borrowed billions of dollars from China to improve its domestic infrastructure. As per reports, Sri Lanka borrowed 301 million USD from China at an unbelievable interest rate of 6.3% to build the port.
Even the World’s bank charges interest rates from 0.25% to 3%. The general idea can be taken from the interest rates by the above rate but what China is charging can just break the back of any under developed or developing nations.
As the Sri Lankan has been slow, the debt which was of 301 million USD has converted to 1 billion USD which will be very unbelievable to be paid. So, Sri Lankan Govt decided to lease a port so they can pay the debt a bit faster. The Hambantota Port lies at a very strategic position for Sri Lanka and has its own importance. Now, that in control with China, it may lead to a strong position of China towards Indian ocean. It will also help China to increase commercial operations main shipping route between Asia and Europe.
There were speculations that Sri Lankan navy might use this as a base to open a new front during the war if at all is required. There were local protests which were done by the people who worked at the port but government has no other better position but to grant China the access to the port.
So far the same, Pakistan could soon follow suit. Pakistan believes that CPEC is the blueprint for the transformation of Pakistan. They think that it can solve their issues like improving the road and rail network, solving its energy crisis and also help it to improve its economy. That may very well be happening, but China has been pumping money in Pakistan and there will be a time when Pakistan will not be able to pay the debts.
The situation of Pakistani economy isn’t getting better than before and it very well cannot match the high interest rates of Pakistan and soon might have to convert debt into equity, causing China to overtake some strategic important chunk of land in Pakistan that will surely bother India and the neighbouring nations. This is how without firing even one bullet, Pakistan will have to give a very big piece of land of their territory.
Currently, China is also trying to make investments in Nepal, Myanmar and Bangladesh. All these nations should be aware that China is no helper and they have motive behind their every move they are making. If they won’t realize this now, time will make them realize later.