Profile
Settings
Refer your friends
Sign out
China’s new foreign and economic policy, the One Belt, One Road (OBOR) initiative, has been widely praised. It is a development strategy that links China to Central Asia, Europe, and the Indo-Pacific littoral nations. There are two parts to this policy:
Belt– The land-based “Silk Road Economic Belt” is called “One Belt.” Beijing hopes to use Central Asia to connect the country’s impoverished hinterland to Europe.
Road – The “One Road” is a reference to the “Maritime Silk Road,” which runs across the ocean. Its goal is to use ports and trains to connect the fast-growing Southeast Asian region to China’s southern provinces.
An Observation of the OBOR
From the 1980s through the early 2000s, China enjoyed tremendous expansion, with an increase in output and investment fueled by the country’s integration into regional cross-border manufacturing networks. China’s economic growth was affected by the Great Recession of 2008 and the ensuing drop in global commerce, which significantly hampered the country’s export-oriented growth strategy. As a result, it was decided that a new economic strategy would need to be developed. This plan was built on a large-scale investment programme fueled by huge money creation and low-interest rates. A scheme like this was thought to be able to counteract the impacts of falling external demand.
Many key economic and geopolitical considerations are at play in this initiative, but given its domestic economic woes, it is more likely to focus on the former
Many of its proposed infrastructure building projects pass through impoverished areas of China, which might provide a much-needed boost to the country’s economy. Beijing believes that better connections between its poorer and wealthier regions will lead to improved economic integration and regionally balanced growth
In terms of foreign policy, the OBOR mirrors many of the country’s interests in terms of repairing relations with its neighbours, which are strained due to a slew of border disputes. Overall, if this effort is implemented well over time, it will increase cross-border trade and financial inflows from the entire Eurasian region
Furthermore, the geopolitical ramifications of this undertaking must be considered. China will use the OBOR to challenge the United States’ role as a global power. China may offset any steps that are adverse to its interests by carefully investing in nations around the world, particularly in dockyard and airport infrastructure building.
China’s Goals for the One Belt One Road Initiative
China’s ambitious attempt to take a stronger role in global affairs and broaden its circle of friends is sometimes referred to as the OBOR initiative
While China claims that its investment in OBOR is motivated by economic interests and will benefit host nations, the project is multi-faceted and meant to serve political, economic, and strategic goals
It’s also meant to solve the country’s domestic economic reform demands. The demand for infrastructure building output will rise, reviving the country’s economy
This effort will strengthen China’s soft power, prompting some observers to refer to it as a “China Marshall Plan”
The Indo-Pacific will become a Sino-centric economic and security zone as a result of this plan
It’s also a rebuttal to US propaganda that a rising China poses a threat to global peace. As a result, it is necessary to persuade people that rising China is not a threat but rather a win-win situation for everyone
The Maritime Silk Road, and particularly Chinese infrastructure building investment, is ostensibly designed to allow for more regular deployments of the People’s Liberation Army Navy in the Indian Ocean and beyond.
India’s Position on the One Belt One Road initiative
Since the China-Pakistan Economic Corridor (CPEC) crosses Indian territory, India’s refusal regarding China’s One Belt One Road (OBOR) proposal. The Indian government has stated that connection cannot jeopardise other countries’ sovereignty. India has also declined to attend China’s first Belt and Road Summit, which will take place in May 2017
China’s Silk Road efforts have piqued the interest of India’s security establishment
China’s road expansion on land borders and port construction in the Indian Ocean has long been criticised by Delhi’s strategic community as “strategic encirclement.”
The establishment of the China-Pakistan Economic Corridor has exacerbated the problem (CPEC). The fact that CPEC is present lends validity to the “strategic encirclement” thesis
Optimists, on the other hand, believe India requires a fresh perspective. Cancelling the problem will result in India’s exclusion from the geo-economic options that are developing.
In terms of OBOR, India has a few options-
To begin, the Indian government must determine whether the OBOR represents a threat or an opportunity for the country. In the case of the latter, how it is put to use will be mainly determined by the institutional agencies and strategic goals that India can achieve.
Improve India’s border infrastructure through upgrading border management and constructing additional ports. The government can work with foreign corporate firms to complete infrastructure projects in other countries.
Conclusion
The idea might theoretically be considered workable if India’s political and strategic concerns are addressed, especially since many of the projects planned under the BCIM (Bangladesh China India Myanmar) corridor and the Asian Highway project will indeed overlap with OBOR. Except for Bhutan, all of India’s neighbours are already members, and India is eager to expand connectivity with them. Tense bilateral relations with China, profound mistrusts, and India’s growing concerns about Chinese hegemonic goals in South Asia and the Indo-Pacific area make India’s participation in this project nearly impossible.
