Model Answer

Introduction

The China-Pakistan Economic Corridor (CPEC) is a significant development project that forms a key part of China’s broader “One Belt One Road” initiative. CPEC aims to connect Gwadar Port in Pakistan’s Balochistan province to Xinjiang in northwestern China through a network of roads, railways, and pipelines. The corridor is expected to enhance trade, boost economic growth, and promote regional connectivity. However, despite its potential benefits, India has chosen to distance itself from the initiative.

Reasons for India’s Distancing from CPEC

1. Sovereignty Issues
   • CPEC traverses Gilgit-Baltistan, a region that India claims as part of its territory but is administered by Pakistan. This raises significant concerns regarding India’s territorial integrity and sovereignty.
   • Fact: India has consistently maintained that any infrastructure project in this disputed region undermines its claims and interests (Ministry of External Affairs, India).
2. Strategic Concerns
   • India perceives CPEC as a strategic maneuver by China to extend its influence in South Asia, potentially providing the Chinese military with advantages that could alter the regional power balance.
   • Fact: Analysts believe that CPEC could facilitate increased Chinese military presence near India’s borders, which is a point of concern for Indian security (Institute for Defence Studies and Analyses).
3. Lack of Transparency
   • India raises concerns about the transparency and governance standards involved in CPEC’s implementation. There are fears regarding the potential environmental impacts and the decision-making processes behind the projects.
   • Fact: Reports indicate that many CPEC projects have not undergone thorough environmental assessments, leading to skepticism about their sustainability (Pakistani Environmental Authority).
4. Debt Diplomacy
   • India is wary of the potential for “debt diplomacy” associated with Chinese investments, where countries become economically dependent on China due to unsustainable debt levels.
   • Fact: Instances in countries like Sri Lanka, where Chinese loans led to significant economic challenges, serve as cautionary tales for India (Financial Times).

Conclusion

India’s distancing from CPEC is rooted in its concerns over sovereignty, strategic stability, transparency, and economic risks. These factors highlight India’s need to strengthen its own strategic and economic ties to effectively counterbalance regional developments influenced by China.