China-pakistan Bilateral Economic Relations In The Context Of China’s Foreign Economic Policy Towards South Asia

The study investigates China’s foreign economic policy towards South Asian countries,primarily focusing on China-Pakistan bilateral economic relations since open-up policy.This research examines mostly Pakistan’s perspective regarding Chinese Policy towards Pakistan and their bilateral economic relations with China during the period from 1979 to 2019.This thesis aims to answer the central question of what is the main philosophy of China’s foreign economic policy towards South Asia,specifically focusing Chinese Policy towards Pakistan and its bilateral economic relations.This thesis first provides a background on China’s foreign economic policy towards South Asian countries and looks at how China and Pakistan related to each other during this period under study.The thesis then examines the bilateral relations particularly focusing on economic relations since 1979 to 2019,dividing into different segments.Based on the evidence,driven from the primary data including,the face-to-face interviews of high official and a research survey conducted in Pakistan,this study tested the hypothesis that China’s foreign economic policy towards South Asian countries,primarily its bilateral economic relations with Pakistan is for regional development,prosperity and mutual interests(in terms of economic,political and strategic interest and objectives)instead of asymmetrical economic gains,and political hegemony.The study finds that China’s political and economic ties with the regional countries,especially its economic engagement in Pakistan,will be valuable for the development and stability of the region.Based on mutual economic,political and strategic interest and objectives China’s foreign policy towards South Asia is to keep up harmony in the region and to grow friendly and stable relations with neighboring countries.Theoretically,this thesis applies the theory of liberalism,which mainly focuses on the liberal theory of economic development and underdevelopment,and complex interdependence,as the central idea of this research is to examines China’s South Asia policy and its bilateral relations with regional countries,especially focusing Pakistan as a case study.In this scenario,the liberal theorists about the state behavior,and is reliable with the argument that instead of only seeking economic gains and political dominance and hegemony,China seeks regional development peace and prosperity.As the liberal theory of economic development and underdevelopment implies that economic cooperation through economic and trade cooperation,Free Trade Agreements Foreign investment flows,brings relative advantages.This study also explores that Complex interdependence well describes the relations between Pakistan and China,like economic cooperation,political alignment and interests,as well as the strategic interests of both countries.This study finds that China’s Pakistan policy and their relationship in the early stage was pursuing in a positive manner,even after Pakistan’s joining of the Western block.During the 1960s,Beijing moved towards Islamabad to establish a close relationship due to its border disputes with India.China provided economic,military,and political support since the establishment of bilateral relations.This is followed by an attempt to explore the evolving nature of China’s policy towards Pakistan and the factors of continuity and durability of its bilateral relations such as;their geographical proximity,strategic nature of partnership,and India’s influential role.The study also examined the importance of CPEC for China-Pakistan relations,which is an important project under Belt and Road Initiative(BRI).CPEC is considered as the backbone for Pak-China relations as well as significant project for entire South Asia in terms of regional continuity and integration.The study finds that the emergence of various events and developments at the global stage,regional stage,and domestic stage would pave the way to further strengthen the bilateral relations instead of affecting the friendly and supportive nature of China’s Pakistan Policy.Based on mutual trust,mutual interest,and the aspects of stability and continuity,China-Pakistan cordial relations are moving towards a“destiny of shared future”~1.