Pak sidesteps China on CPEC to seek economic bailout from the West
Pakistan is reportedly courting the United States to seek financial support to boost its sagging economic fortunes while sidestepping commitments made to China on the China Pakistan Economic Corridor (CPEC), the flagship initiative under China’s Belt and Road Initiative (BRI).
The Pakistani leadership that came to power after Imran Khan was paying lip service to China on the CPEC while engaging the US for a bailout, said people aware of the matter. Work on the CPEC has been delayed by several months and the India-Middle East Europe Corridor is expected to rival the BRI, they said.
The current caretaker government in Pakistan is reportedly seeking the help of the West for a bailout instead of approaching its all-weather ally China despite the latter’s attempts at various international fora to back Pakistan.
US-based investigative news portal The Intercept alleged that the US brokered an International Monetary Fund (IMF) bailout to Pakistan in lieu of arms supplies to Ukraine. The Biden government is yet to react to these allegations.
ET had earlier reported that Pakistan entered into deals with the West, including the UK, to supply arms to Ukraine via Poland and Germany, partly through Western flagged ships since August 2022.
In July Pakistan dispatched an arms consignment to Kiev that coincided with Ukrainian foreign minister Dmytro Kuleba’s “emergency visit to Islamabad”, ET had then reported.
Pakistan has been at the forefront of arms, ammunition and artillery supplies to Ukraine since August 2022 at the behest of the West and via third countries, including Poland and Germany.
