For Pakistan, China is now what US once used to be, officially

Earlier this week, the US sought a budget of $101 million to help Pakistan stabilise its economy, strengthen its democracy and most important of all, reduce its “overreliance” on China. While Pakistan has welcomed the move, it has rejected any possibility of sacrificing its relationship with Beijing to improve ties with Washington.

Foreign Office spokeswoman Mumtaz Zahra Baloch said, “Pakistan doesn’t believe in zero-sum relationships.”

“For us, relations with the United States and relations with China are both important. We do not believe in situations where relationship with one country can be sacrificed on the altar of relations with another,” she added.

She also described China as Pakistan’s steadfast and reliable strategic partner, emphasising that Islamabad is committed to further strengthening this bond. At the same time, Pakistan cherishes its strong ties with the United States and advocates for constructive engagement with it.

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“We would like to develop this relationship on the basis of sovereign equality, mutual respect and non-interference in each other’s domestic affairs,” Baloch said.

About the US aid to Pakistan

The US Assistant Secretary for South and Central Asia, Donald Lu, on July 23, requested a $101 million aid package for Pakistan.

In his statement before a subcommittee of the US House Committee on Foreign Affairs, Lu underscored that the purpose of the aid is to stabilise Pakistan’s economy while supporting democratic values and human rights.

As per the budget request document, the aid also aims to “compete with the People’s Republic of China (PRC), counter Russian and Chinese disinformation, and prevent terrorist groups from threatening US security”.

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Lu also said that through the financial assistance, the US wants to prevent Islamabad’s “further overreliance” on Beijing.

“China is the past in terms of investment; we are the future,” Lu said, adding that Washington wants to strike a balance in terms of China’s “strong and growing influence” in Pakistan.

Pakistan’s dependence on China

China has become a major player in helping Pakistan get back on its feet.

It has become a big source of economic aid for Pakistan with the country funding various development projects, including infrastructure and energy initiatives.

Pakistan has received substantial loans from China, particularly through initiatives like the China-Pakistan Economic Corridor (CPEC). These loans help address balance-of-payments issues and support economic development, but they also increase Pakistan’s debt dependency on China.

The country has also emerged as one of Pakistan’s biggest trading partners.

With inputs from agencies