Pakistan identifies 13 sectors for priority investment after concluding PM’s ‘milestone’ China visit

Pakistan Prime Minister Shehbaz Sharif (left) meets Chinese President Xi Jinping in Beijing, China, on June 7, 2024. (Government of Pakistan)
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Updated 09 June 2024
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Pakistan identifies 13 sectors for priority investment after concluding PM’s ‘milestone’ China visit

  • PM Shehbaz Sharif concluded China visit on Saturday which included meetings with Chinese business, political figures 
  • Both countries agree to promote cooperation in offshore oil and gas, mining, agriculture and digital communication sectors 

ISLAMABAD: Pakistan’s government has identified 13 priority sectors for top Chinese companies to invest in to ensure Pakistan’s export-oriented growth, a joint statement issued by both countries after Prime Minister Shehbaz Sharif’s visit to China this week said. 

The Pakistani premier concluded his five-day “milestone” visit to China on Saturday, which included several high-profile meetings with top political and business leaders, after announcing plans to send 1,000 Pakistani students to a top Chinese agricultural facility for advanced training before his departure.
His engagements across various Chinese cities were aimed at upgrading the China-Pakistan Economic Corridor (CPEC), a flagship of the Belt and Road Initiative (BRI), through which Beijing has pledged over $60 billion to the South Asian country. 
Sharif’s China visit took place at an important time for Islamabad, which has increasingly sought over the past couple of months to bolster its fragile economy by seeking foreign investments and enhanced regional connectivity with allies. During his time in Beijing, Sharif met with Chinese President Xi Jinping and Premier Li Qiang, who both reaffirmed their support for Pakistan’s efforts to become a regional hub of trade and connectivity.
“The Pakistani government identified 13 priority sectors for enhancing export-oriented industry and encouraged Chinese top companies in these sectors to make investments in Pakistan,” a joint statement issued by the foreign ministries of both countries said on Saturday. 
“The Chinese side welcomed Pakistan to expand exports to China.”
As per the joint statement, China reiterated its commitment to Pakistan’s industrialization and said it would encourage Chinese companies to invest in Pakistan’s Special Economic Zones. The two sides expressed their willingness to actively encourage Chinese companies to invest in Pakistan’s mining industry and strengthen the planning of mining industrial parks, including downstream mineral processing, the statement said. 
“The Chinese side expressed its willingness to strengthen cooperation with Pakistan in such areas as offshore oil and gas resources, and natural gas hydrate and Chinese companies to actively participate in the development of offshore oil and gas blocks of Pakistan,” the statement said. 
The statement said the two sides would carry out practical cooperation for modernizing agriculture in Pakistan in areas such as seed technology, crop cultivation, drip irrigation, prevention and control of animal and plant diseases. 
“Both countries agreed to strengthen development of the Pakistan-China digital information channel, and promote the integration of information and communication technology infrastructure and develop an innovation corridor through Pakistan,” the statement added. 
Pakistan and China also agreed to launch a new phase of energy cooperation by modernizing production, transmission and distribution systems to reduce line and other losses, the statement said. 


Pakistan’s military chief Asim Munir in spotlight over Trump’s Gaza plan

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Pakistan’s military chief Asim Munir in spotlight over Trump’s Gaza plan

  • Sources say Munir is expected to visit Washington in the coming weeks for talks with the US president on Gaza
  • Any Pakistani troop role in Gaza could trigger backlash from pro-Palestine, anti-US groups at home, analysts say

ISLAMABAD: Pakistan’s most powerful military chief in decades faces the toughest test of his newly amassed powers as Washington pushes Islamabad to contribute troops to the Gaza stabilization force, a move analysts say could spark domestic backlash.

Field Marshal Asim Munir is expected to fly to Washington to meet President Donald Trump in the coming weeks for a third meeting in six months that will likely focus on the Gaza force, two sources told Reuters, one of them a key player in the general’s economic diplomacy.

Trump’s 20-point Gaza plan calls for a force from Muslim nations to oversee a transition period for reconstruction and economic recovery in the war-torn Palestinian territory, decimated by over two years of Israeli military bombardment.

Many countries are wary of the mission to demilitarize Hamas in Gaza, which could drag them into the conflict and enrage their pro-Palestinian and anti-Israeli populations.

But Munir has built a close relationship with the mercurial Trump to repair years of mistrust between Washington and Islamabad. In June, he was rewarded with a White House lunch — the first time a US president hosted Pakistan’s army chief alone, without civilian officials.

“Not contributing (to the Gaza stabilization force) could annoy Trump, which is no small matter for a Pakistani state that appears quite keen to remain in his good graces — in great part to secure US investment and security aid,” said Michael Kugelman, Senior Fellow, South Asia at Washington-based Atlantic Council.

‘PRESSURE TO DELIVER’

Pakistan, the world’s only Muslim country with nuclear weapons, has a battle-hardened military having gone to war with arch-rival India three times and a brief conflict this summer. It has also tackled insurgencies in its far-flung regions and is currently embroiled in a bruising war with militants who it says are operating from Afghanistan.

Pakistan’s military strength means “there is a greater pressure on Munir to deliver his capacity,” said author and defense analyst Ayesha Siddiqa.

Pakistan’s military, foreign office and information ministry did not respond to questions from Reuters. The White House also did not respond to a request for a comment.

Pakistani Foreign Minister Ishaq Dar said last month that Islamabad could consider contributing troops for peacekeeping but disarming Hamas “is not our job.”

UNPRECEDENTED POWER

Munir was earlier this month anointed chief of the defense forces to head the air force and navy as well, with a job extension until 2030.

He will retain his field marshal title forever, as well as enjoy lifetime immunity from any criminal prosecution under the constitutional amendments that Pakistan’s civilian government pushed through parliament late last month.

“Few people in Pakistan enjoy the luxury of being able to take risks more than Munir. He has unbridled power, now constitutionally protected,” Kugelman added.

“Ultimately, it will be Munir’s rules, and his rules only.”

THE HOME FRONT RISK

Over the past few weeks, Munir has met military and civilian leaders from countries such as Indonesia, Malaysia, Saudi Arabia, Turkiye, Jordan, Egypt and Qatar, according to the military’s statements, which Siddiqa said appeared to be consultations on the Gaza force.

But the big concern at home is that the involvement of Pakistan troops in Gaza under a US-backed plan could re-ignite protests from Pakistan’s religio-political parties that are deeply opposed to the US and Israel.

These parties have street power to mobilize thousands. A powerful and violent anti-Israel party that fights for upholding Pakistan’s ultra-strict blasphemy laws was banned in October.

Authorities arrested its leaders and over 1,500 supporters and seized its assets and bank accounts in an ongoing crackdown, officials said.

While Islamabad has outlawed the group, its ideology is still alive.

The party of former jailed premier, Imran Khan, whose supporters won the most seats in the 2024 national elections and has wide public support, also has an axe to grind against Munir.

Abdul Basit, Senior Associate Fellow, S. Rajaratnam School of International Studies in Singapore, said if things escalated once the Gaza force was on the ground, it would cause problems quickly.

“People will say ‘Asim Munir is doing Israel’s bidding’ — it will be foolhardy of anyone not to see it coming.”