Indian factor in CPEC: prospects and challenges for Pakistan

Abstract

The One Belt One Road policy of China has given birth to CPEC (China Pakistan Economic Corridor) which is very important for the security and economic situation of China, Pakistan and other neighboring countries. It will connect China to the rest of the world with very short route. One Belt One Road initiative is one of the biggest investments China has ever made. More than $46 billion will be spend in the construction of CPEC. Such a big investment will further expand the relations between China and Pakistan. The position of Pakistan in the foreign policy of China will be given more and more importance. However, CPEC also affects relations between India and Pakistan. The transport corridor between Pakistan and China traverses Jammu and Kashmir, the status of which has been a subject of contention between India and Pakistan since 1947. This constellation would seem to suggest a negative scenario whereby CPEC could place additional strain on India-Pakistan relations. On the other hand, a positive scenario is also conceivable, with a settlement of the Kashmir dispute even becoming possible in the long term. In this paper, the researcher has tried to analyze the importance of Indian factor in CPEC. The paper also addresses whether Indian factor is a threat to CPEC or not. The possible impacts of CPEC on the economies of China and Pakistan are the main theme of the paper along with prospects and challenges caused by Indian factor. Similarly, the security and trade factors of CPEC are also discussed.