China stops funding of CPEC road projects over graft issue
New Delhi: China has decided to temporarily stop funding at least 3 major road projects in Pakistan following reports of corruption. The halting of projects has left officials in Islamabad “stunned”, a media report said today.
The decision by the Chinese government is likely hit over Rs 1 trillion-worth road projects of the Pakistan’s National Highway Authority, and initially, may delay at least three such ventures, Dawn newspaper reported.
According to a senior government official, the funds would be released after Beijing issues ‘new guidelines’.
The nearly $60 billion China-Pakistan Economic Corridor (CPEC), a flagship project of China’s prestigious One Belt One Road, passes through Pakistan -occupied Kashmir. It links China’s restive Xinjiang region with Pakistan’s Balochistan province.
CPEC was launched in 2015 when President Xi Jinping visited Pakistan and it now envisages investment of around USD 50 billion in different projects of development in Pakistan.