A visible shift in US policy in South Asia

It seems a shift in the US policy in South Asia, especially toward Pakistan. The US was among the first few countries to recognize Pakistan in 1947 after getting independence from the British Empire.

During the Cold War, Pakistan was a big supporter of the US and protected American interests in the region, including Afghanistan-war in the 1980s. Pakistan was also a close ally in the “war on terror” after the attacks on the World Trade Center and the Pentagon on September 11, 2001.

However, although Pakistan extends a cordial hand of friendship to the US whenever it needs support, the US always steps back when it no longer needs a Pakistani role in an issue, and relations decline. Pakistan has faced some of the toughest and strictest US sanctions in history.

The two countries have always cooperated with each other on their common goals and interests, though the US has failed to value Pakistan’s interests and has kept on making demands. “Do more” has been the message of the US leadership in recent years, without understanding Pakistan’s capacity to comply, or its own interests. The US always considered Pak-US relations as “Transactional” only. While Pakistan was sincere and considered its relations with the US in the long term.

During the past few years, the US has blamed and threatened Pakistan. Of course, there exist some concerns on both sides, and some of these may be genuine, but some are based on misunderstandings only, or over expectations. In fact, the US was asking Pakistan “Do More” without considering Pakistan’s capacity and interests.

As long as the US was cooperating with Pakistan, the US achieved its strategic goals in this region. Pakistan may be a small country, but possess a strategic location and can play a decisive role in geopolitics. Pakistan is a country with 220 million population, the sixth-largest country by population. The only nuclear power in the Muslim world considered an important nation in the Muslim world. Its location facilitates connecting east and west, at the entrance of the Gulf of Hurmuz, oil-rich middle-east. Also connecting Eurasia with the Arabian Ocean.

Pakistan is blessed with natural beauty, most suitable for tourism. Also rich in minerals, but not exploited yet. Its population consists of 70% youth under the age of 40 years, a huge work-force. Diversified climate and topography, makes Pakistan one of the best agricultural country.

Over-all the history of relations between Pakistan and the US was not so smooth and has been passing many ups and downs. But for the last decade, it was almost the worst period of our relations, where the US has coerced Pakistan and almost written-off. The US shifted its focus on India, supported India, assisted India, and helped India, to make India strong enough to counter China. Replaced Pakistan’s role in Afghanistan with India. AS a result, India has become the biggest beneficiary of US aid after the state of Israel.

Unfortunately, India does not have the capacity and could not meet the expectations of the US. The US could not achieve its strategic goals with Pakistan’s support in this region. Failure after and another failure, the US leadership, especially the Military leadership has realized the importance of Pakistan’s pivotal role.

Assistant Secretary of State Alice Wells, recently spoke on China-Pakistan Economic Corridor (CPEC) and warn Pakistan on its long term impact. It needs to explore in depth that either it was sincere advice from her or just a reaction to counter China or contain China. The US is openly opposing China’s further growth and taking all possible measures to counter China on all possible fronts. India failed to serve the US expectation to contain China. It is the first time, senior US officials directly gave a statement on CPEC. It needs to study and evaluation seriously in detail.

However, the good news is that the United States plans to send 15 trade delegations to Pakistan next year to explore possibilities for expanding trade with Pakistan. The information is included in a paper Wells read at a Washington think-tank, Wilson Centre, last week, which focused heavily on the China-Pakistan Economic Corridor (CPEC), but it also included various suggestions for expanding US-Pakistan trade ties. We are very much optimistic and welcome the expansion of Pak-US relations in the very near future.

And once the new expanded Deve­lopment Finance Corporation (DFC) is up and running, “Pakistan is going to be a country of great interest”. The DFC will have more than double the investment cap than the Overseas Private Investment Corporation (OPIC), increasing from $29 billion to $60bn. OPIC is a US government agency that mobilizes private capital for overseas investments. Doubling the cap would enable investment in projects that have high standards and are financially sustainable over the long haul.

While urging Pakistan to benefit from these additional US resources, Wells reminded Islamabad last week that “truly sustainable development is really a marathon and not a sprint. It requires the development of an effective regulatory framework, strong rule of law, fiscal health, and an enabling business climate”. Pakistani policymakers must take necessary measures to be benefited from the US initiatives.

She recalled that during Prime Minister Imran Khan’s visit to the United States in July, President Donald Trump was “extremely enthusiastic about the potential for increasing and expanding our US-Pakistan trade and investment relationship. And both our governments are working very hard to find practical ways to do that. We commend Pakistan for surging 28 slots on the World Bank’s 2020 Ease of Doing Business ranking and being highlighted as one of the top ten reformers globally,” she added.

“And just to be crystal clear, the US-Pakistan development partnership has primarily taken the form of grants — not loans,” said Wells while adding that such links “offer a sense of the direction that we envision”.

Pakistan welcomes all nations to invest in Pakistan. Government of Pakistan provides attractive policies and full protection of all foreigners and guarantees profitable investments. CPEC is also open to all other nations, currently Saudi Arabia, UAE, France and Turkey has shown interest to invest in CPEC-Projects too. Pakistan is a huge country and unlimited opportunities exists within CPEC and out-side CPEC. Pakistan, based on mutual benefits, is willing to engage with any country in a meaningful manner, all the time.

We are optimistic with this development and welcome warmly.

Prof. Engr. Zamir Ahmed Awan
Prof. Engr. Zamir Ahmed Awan
Prof. Engr. Zamir Ahmed Awan, Sinologist (ex-Diplomat), Non-Resident Fellow of CCG (Center for China and Globalization), National University of Sciences and Technology (NUST), Islamabad, Pakistan.