China Pakistan Economic Corridor Vs East India Company.

Posted on at


Image Credit

In October 2016 lawmaker of Pakistan upper house (senate) commented that CPEC can prove to be another East India Company if Pakistani interests are not protected efficiently. Furthermore, IMF also warned Pakistan that Pakistan has to manage increasing outflows of CPEC after investors start extracting benefit.

China Pakistan Economic Corridor (CPEC)

Before advancing deep into the discussion lets have a look on what is China Pakistan economic corridor. CPEC is subproject of Chinese ONE BELT ONE ROAD (OBOR) project. OBOR will involve 20 countries for reginal development of infrastructure. Investment of $46 billion was announced that was further increased to $56 billion under CPEC in Pakistan. The amount will be used in infrastructure, transportation, railway and energy sectors of Pakistan.

Pakistan will have to pay $90billion for $ 46 billion investment within 30 years after 2030 against loan and investment assortment. The amount will be increased now according to the increase in the investment amount.

China believes in invest.. not invade policy.


Image Credit voemag

East India Company?

Now have a look back in seventeenth century India. East India Company entered Indian sub-continent as a trader company but slowly took control of some Indian areas. By 1757 East India Company had full control over Bengal province of the Mughal empire. In 1765 east India company had agreement with Mughal empire and started harvesting profit of Bengal, Orissa and Bihar provinces. Company was dissolved after full overtake of British Empire over India as a result of 1857 war of freedom. In this w ay East India Company set way for British rule in Indian Subcontinent and Burma.



(British India) Image Credit

So, can CPEC be another East India company in the making? Is their chances of Chinese intervention in Pakistan under China Pakistan economic corridor (CPEC) investment?


Image Credit Gwadar News

History of china tells that the country has never invaded any other nation through out its 6000 years history despite having strong military power. If china did not do it in past then why would it do it in future? Another point of Pakistan’s concern is that if due to corrupt administration, bad governance and policies, Chinese investment fails to bring prosperity and economic stability, Pakistan will be left in much bigger problem.


(Gwadar City) Image Credit Gwadar News

Deep study of Chinese policies demonstrate that china believes in invest.. not invade policy. China build new middle-income markets by investing in developing and under developed countries for progress of china’s industry and economy. 


(CPEC road map) Image Credit

So, Comparison of East India Company and China Pakistan economic corridor has no similar points except that the surplus will be transferred to Beijing in case of CPEC which was transferred to London by east India company. But under CPEC this transfer will neither happen by force nor Pakistan’s interests be hearted. CPEC is also increasing investment from other countries such as Japan and European countries in Pakistan in different sectors.

Pak-china friendship is levelled up to geo economic friendship by china Pakistan economic corridor.

Hence, it is clear that CPEC is not designed to capture Pakistan’s market but to enhance life standards. Both of the countries will be benefitted. China will get access to African markets and oil rich gulf countries. In a nut shell, geo strategic Pak-china friendship is levelled up to geo economic friendship by china Pakistan economic corridor.   

Vedio By Vande Via Youtube


About the author


A student of Life.

Subscribe 0