Abstract
The study shows debt for development is a deception and funding are canoodling the sovereignty, entrapment and distressing economic policies of Pakistan. Underdeveloped and developing states are lured by loans for transformative developmental and infrastructure projects illuminating any significant relationship between financial institutions, state’s financial backing and economic growth whether it is positive or negative. The study is focused to draw conclusion and make recommendations through analysis whether Pakistan should borrow from US, China, IMF, friendly countries and other financial institutions, or look for other ways of handling under developing economies and starvation. The lender states by using their own brand of “debt trap diplomacy” is compelling smaller states to stomach by their injunctions. This will have maleficent corollaries for the borrower countries and is likely to bounce back on funding state or institution. It is worthwhile to know that how the lender states and financial institutions through financial assistance and loans trying to pursue its geopolitical or geostrategic interests in Pakistan? The lender states are snuggling the sovereignty under the shadow of Infrastructure upgradation, road, rail and energy sector development of the borrower states and the financier institutions focusing well on finding resilient solution to economy of Pakistan.
Authors
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Javed Iqbal
- Ph. D Scholar, Department of Political Science, University of the Punjab, Lahore, Punjab, Pakistan
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Prof. Dr. Iram Khalid
- Professor, Department of Political Science, University of the Punjab, Lahore, Punjab, Pakistan
Keywords
BRI, CPEC, Rollover Loan, Debt Trap, Financial Sovereignty, Geopolitical, Geostrategic, New Silk Road, Predatory Loan
DOI Number
10.35484/pssr.2019(3-2)52
Page Nos
673-686
Volume & Issue
v3-2
