PM Imran arrives in China on four-day visit

[Goritoes]

I hope China condition the Aid and Investments with Operations in Baluchistan.

 

[SIPRA]

We are bearing the consequences of 2 destructive decades (1988-99 & 2008-18). Shall not over expect from China.

 

[Ghessan]

PM Imran’s China trip to give fresh fillip to CPEC​

Five-year industrial framework agreement vital to develop SEZs

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Shahbaz RanaFebruary 04, 2022

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ISLAMABAD:
Pakistan and China are scheduled to sign a five-year Industrial Cooperation Framework Agreement to re-energise the China-Pakistan Economic Corridor (CPEC).
Moreover, Islamabad would also seek rollover of $4 billion Chinese loans and increase in size of $4.5 billion trade finance facility
The broad-based discussions will be held in Beijing as Prime Minister Imran Khan on Thursday began a four-day official visit to China. During the visit, he would join other world leaders at the opening ceremony of the Winter Olympics scheduled to be held on Friday.
According to the text of the framework agreement, Pakistan has agreed to take responsibility of the Chinese lives and property, in addition to providing “special beneficial support for water and power supply which are necessary to develop SEZs (special economic zones), and provide efficient and favourable policy support for Chinese enterprises which are intending to invest or have already invested in the Pakistani SEZs”.
During PM Imran’s visit, Pakistani authorities will seek bigger fiscal package, including contribution in a new fund – the China-Pakistan Industrial Cooperation Fund – to facilitate relocation of Chinese industries to Pakistan, according to sources and draft of the agreement.
Read: "With economy in mind, PM Imran lands in Beijing on official trip"
On the fiscal side, the government is seeking rollover of $4 billion loans and increasing the size of trade finance facility from the current $4.5 billion to around $10 billion, they added.
But the final decision would depend on a meeting between Prime Minister Imran Khan and Chinese President Xi Jinping, the sources said.
“The federal cabinet on Thursday granted approval to the industrial framework agreement, which would be signed during the PM’s visit,” Board of Investment (BoI) Secretary Fareena confirmed to The Express Tribune.
The cabinet approved the draft agreement on the day PM Imran left for Beijing with an agenda to bring both the countries economically and commercially more closer to each other.
Just before leaving for Beijing, Finance Minister Shaukat Tarin removed yet another irritant in bilateral relations by agreeing to open a revolving bank account that would have balance equal to 22% of the power purchase payments to be made to the Chinese power plants. This was a major Chinese demand to save its investors from the circular debt cycle.
The government also agreed to release another Rs50 billion to the Chinese power plants to lower their dues towards the government. It has already approved to make $11.6 million payments to Chinese nationals who died or were injured in a terrorist attack.
“The progress on CPEC has been greatly affected during the International Monetary Fund programme that put many checks by placing limits on the government’s primary budget deficit and issuing sovereign guarantees,” sources told The Express Tribune.
Framework Agreement
The signing of the Framework Agreement on Industrial Cooperation under CPEC is seen as a first “serious” step by the government during the past three-and-a-half years to put the multibillion initiative of President Xi back on track. Pakistan was trying to get the deal done during the past over two years.
The framework agreement will be signed by BoI Chairman Muhammad Azfar Ahsan and the chairman of China’s the National Development and Reforms Commission (NDRC).
The agreement will be effective for five years and is extendable automatically if no party notifies the other not to extend it at least three months before the expiration date.
According to the draft agreement, China has advantages in experience, technology, financing, and industrial capacity, while Pakistan enjoys favourable conditions in natural resources adequate labour, manpower, quality infrastructure, access to the international markets and optimal policies for industrial development.
The main objective of the framework agreement is to enhance the industrial competitiveness of Pakistan by encouraging Chinese enterprises to build factories and set up businesses in the country. The focus of the partnership is to improve skills development, enhance labour productivity and encourage joint research and development.
The principle of the partnership is to respect the enterprises as responsible entities on market-oriented guidelines and to follow the business rules and international practices.
The two countries will also discuss establishing the China-Pakistan Industrial Cooperation Fund to support projects under industrial cooperation and in other relevant areas.
Pakistan would not be required to create a new fund management structure and instead use the existing Pak-China Investment Company to regulate the industrial fund, former BOI chairman Haroon Sharif said.
He said the purpose of the newly proposed fund was to provide long-term financing to the Chinese industries relocating in Pakistan since commercial banks did not have such appetite.
Sharif said there was also a need to develop a one-window solution to the Chinese investors like the DIFC financial center offered to the investors in Dubai.
China will help promote industrialisation, development and population of the economic zones, enhancement of service sector competitiveness, forecasting perspective demand for human resources, ensuring requisite training of workforce; and for the initiation, planning, execution and monitoring of the projects, according to the text of the agreement.
Importantly, both countries have agreed to attach high importance and give priority to the development of nine prioritised SEZs under CPEC, whereby three SEZs are at an advance stage of development, namely, Rashakai SEZ, Allama Iqbal (M-3) SEZ, and Dhabeji SEZ.
Read: "Visit to China 'very important' for Pakistan's economy: Tarin"
Both the countries will research on the prioritised development of Bostan SEZ and will also formulate joint strategies to attract third party participation under the industrial cooperation.
China will encourage its enterprises to establish industries in the SEZs for export-led growth and industrial concentration, while utilising local raw material and manpower, including labour, as well as professionals.
Pakistan will facilitate the Chinese businesses in an efficient manner in accordance with the domestic law. It will also improve the domestic business environment, provide policy support for Gwadar Free Zone, Rashakai SEZ and other SEZs, guard the safety of enterprises and employees investing in the country, provide special beneficial support for water and power supply which are necessary to develop the SEZs, and provide efficient and favourable policy support for Chinese enterprises which are intending to invest or have already invested in the SEZs.
China has agreed to bring its advantages in equipment, technology, management and finance into play to support industry development in Pakistan, besides having special focus on the development of the Information and Communication Technology (ICT) sector.
Similar arrangements shall also be made in other sectors (pharmaceutical, engineering, agriculture, light manufacturing, home appliances and construction materials) mentioned in the long-term plan or any other areas mutually agreed, according to the text of the deal.
Financial Support
Pakistan is also seeking $4 billion rollover of Chinese loans that are maturing in next few months, including $2 billion in late March, sources said.
In addition, the main thrust will be augmenting size of currency swap facility from $4.5 billion to $10 billion. The net additional financial support that the government could request is roughly $5.5 billion, sources added.
The Currency Swap Agreement is a Chinese trade finance facility that Pakistan has been using since 2011 to repay foreign debt and keep its gross foreign currency reserves at comfortable levels instead for trade related purposes.
The benefit of this arrangement is that the additional Chinese loan will not reflect on the book of the federal government and will not be treated as part of Pakistan’s external public debt.
To a question, State Bank of Pakistan (SBP) Governor Dr Reza Baqir on Thursday said that the $4.5 billion financing under the Chinese foreign currency swap agreement was the liability of the SBP.
To another question about increasing the size during the PM’s visit, the SBP governor maintained that only the premier’s spokesman could reply in this regard.
In the last fiscal year, China had increased the overall limit from $3 billion facility to $4.5 billion for a period of three more years against the rupee with the maturity buckets of three months to one year.
Pakistan had paid Rs26.1 billion interest on the outstanding balance at agreed rates.

PM Imran’s China trip to give fresh fillip to CPEC | The Express Tribune

Five-year industrial framework agreement vital to develop SEZs

tribune.com.pk

 

[Maula Jatt]

There is a news on media that India is going for a diplomatic boycott of Olympics, because one of the torch bearers is going to be a Chinese soldier of Galwan Clash.

Can anyone of you open a thread on this news?
@beijingwalker
@MH.Yang
@Beast
@Dungeness
@Beidou2020
@FairAndUnbiased

Already a thread

India announces diplomatic boycott of Beijing Winter Olympics

Maybe China should invite the guy in your avatar to carry the torch.

defence.pk

 

[ghazi52]

Prime Minister Imran Khan attending the opening ceremony of 2022 Beijing Winter Olympics at Bird’s Nest, Beijing....

 

[ghazi52]

USA is not worry about close Pak-China relationship.

 

[chinasun]

 

[ghazi52]

 

[IceCold]

USA is not worry about close Pak-China relationship.

View attachment 813169

If this is news then they are worried.

 

[Falconless]

I hope China condition the Aid and Investments with Operations in Baluchistan.

In Sistan Baluchistan?

 

[ghazi52]

Prime Minister Imran Khan, currently on a high-level trip to China, reiterated that the multi-billion dollar China-Pakistan Economic Corridor (CPEC) project is delivering tangible benefits to the people of Pakistan and China.

The PM held a virtual meeting with He Lifeng, Chairman of China’s National Development and Reform Commission of China (NDRC) and Vice Chairman of the Chinese People’s Political Consultative Conference in Beijing on Friday, read a statement from Prime Minister's Office (PMO).

The prime minister also attended the opening ceremony of the Winter Olympic Games at the special invitation of the Chinese leadership.

Khan is accompanied by Foreign Minister Shah Mahmood Qureshi, Finance Minister Shaukat Tarin, Minister for Planning, Development and Special Initiatives Asad Umar, Minister for Information and Broadcasting Chaudhry Fawad Hussain, National Security Advisor Dr Moeed Yusuf, Advisor on Commerce Abdul Razzaq Dawood and Special Assistant on CPEC Khalid Mansoor.

Meanwhile, during the meeting, Khan noted that CPEC's early-harvest projects have transformed Pakistan's economic landscape laying a solid foundation for sustainable economic growth.

The premier vowed to continue efforts to achieve Gwadar's potential as a hub of regional commerce and industry and prioritize preparatory work on the ML-I and other key energy projects, read the statement.

In his remarks on the occasion, the chairman of the Chinese commission noted that China has become Pakistan's largest investment and trade partner in last seven years and both sides are keen to maintain the momentum of overall economic and trade ties in future as well.

Expressing China's readiness to assist Pakistan in the areas of industrialisation, agricultural modernization, science, technology and socio-economic development, the chairman of the Chinese Commission said all relevant Chinese institutions would continue their efforts to encourage Chinese public and private enterprises for investment in CPEC projects.

CPEC is a collection of infrastructure projects that are under construction throughout Pakistan and is a vital cog of China’s ambitious Belt and Road Initiative (BRI).

Meanwhile, during the meeting, both sides welcomed the signing of the Framework Agreement on Industrial Coop between the Board of Investment (BOI) and the NDRC which would, inter alia, facilitate the relocation of China’s industrial units to CPEC SEZs and accelerate investment from China amd elsewhere.

Both sides also signed minutes of the 6th Joint Working Group (JWG) meeting on Gwadar which was held on December 30, 2021.

The minutes were signed by Umar and Ning Jizhe, the Vice-Chairman of NDRC.

 

[ghazi52]

https://www.facebook.com/video.php?v=481169260136406

 

[ghazi52]

PM Imran Khan with Egypt’s President Abdel Fattah al-Sisi..........

 

[ghazi52]

During PM’s visit: Pakistan, China all set to sign $10-15 bn pacts​

By Mehtab Haider
February 05, 2022

ISLAMABAD: Pakistan and China are all set to sign different agreements worth $10-15 billion during the ongoing visit of Prime Minister Imran Khan including rollover of $4 billion deposits, fresh loan of $4 billion, and other projects.

However, both sides have so far been unable to make progress on the much-delayed multibillion-dollar project of Mainline-1 (ML-1) despite making of efforts, as the financing agreement has not yet been firmed up.

Pakistan’s federal cabinet also granted approval for signing of much-awaited industrial cooperation between the two countries under China-Pakistan Economic Corridor (CPEC). “Pakistani authorities are expecting that the ongoing visit of PM Imran Khan will pave the way for boosting bilateral relations and minimum size of cooperation will be over $10 billion,” official sources confirmed to The News on Friday.

While the parties are proactively promoting, facilitating and executing the long-term industrial development plan, China-Pakistan Economic Corridor (CPEC) is a framework of regional connectivity, infrastructure development, and industrial cooperation which will not only benefit the parties but also have a positive impact in the region.

The success of the early harvest projects pertaining to energy and infrastructure has set the foundation for CPEC to enter the pragmatic phase of an enhanced level of industrial cooperation, leading to substantial investment and financing from Chinese government and Chinese private enterprises with reciprocal efforts by the Pakistani government, to provide an encouraging business environment and achieve mutual success as envisaged in the long-term plan of CPEC, signed in 2017 and the MoU on industrial cooperation under CPEC, signed in 2018; the parties hereby agree, as mentioned in the following Articles of the Framework Agreement.

Article 1: As envisaged in the long-term plan, the main objective of the framework agreement is to enhance industrial competitiveness of Pakistan through encouraging Chinese enterprises to build factories and set up business in Pakistan. The focus of the partnership is to improve skill development, enhance labour productivity and encourage joint research and development. The principle of the partnership is to respect the enterprises as responsible entities on market-oriented guidelines, and to follow the business rules and international practices.

Article 2 : The joint Working Group (WG) on Industrial Cooperation under CPEC of the parties will provide guidelines to attract high-quality FM through encouragement of export-oriented high-tech industries, promoting industrialisation, development and population of the economic zones, enhancement of service sector competitiveness, forecasting perspective demand for human resources, ensuring requisite training of workforce; and for the initiation, planning, execution and monitoring of the projects (public as well as private sector) within the ambit agreed between the two countries.


China has advantages and expertise in technology, financing, and industrial capacity, while Pakistan enjoys favourable conditions in natural resources, adequate labour manpower, quality infrastructure, access to the international markets and optimal policies for industrial development.

 

[Taimoor Khan]

View attachment 813362



PM Imran Khan with Egypt’s President Abdel Fattah al-Sisi..........

There is a complete media blackout in west. They are only talking about Xi and Putin meeting.

Clearly there are many other important leaders in China. Do we have full list of leaders there?