China has signed a $4.8 billion deal to build a 1,200 megawatt nuclear power station in Pakistan. The Chashma nuclear power stations in Pakistan are essential for affordable nuclear energy. But, the IMF has delayed payment.
Although Pakistan is experiencing severe financial difficulties, its steadfast ally China signed a massive $4.8 billion deal on Tuesday to build a 1,200 megawatt nuclear power facility. PM Shehbaz Sharif thanked Beijing for showing trust at a time when the country is experiencing unprecedented economic crisis, calling it a significant success in enhancing strategic cooperation between the two countries.
Beijing will build the 1,200-megawatt Chashma-V nuclear power facility in Mianwali, Punjab, under the new deal. PM Shehbaz Sharif has pledged to complete the project on time.
The Chinese government spent a large amount of money on 3,000 km of infrastructure projects between Pakistan’s Balochistan province and northwest China’s Xinjiang Uygur Autonomous Region’s Gwadar Port. The undertaking is also marketed as CPEC. China suffered a significant loss in this project as a result of Pakistan’s failure to finish it by the deadline. However, this time, PM Sharif said that “we will kick start it without any further delay” in order to avoid upsetting Pakistan’s neighbor. He remarked while criticizing the former administration of Imran Khan for postponing the crucial power project.
According to him, this project received a $4.8 billion investment from China, which “sends the message that Pakistan is a place where Chinese companies and investors continue to show their trust and faith,” despite Pakistan’s challenging economic position. According to Sharif, the Chinese corporations provided specific privileges that would allow this project to save billions of rupees.
The Chashma nuclear power stations in Pakistan are essential for affordable nuclear energy. The Pakistan Atomic Energy Commission reports 1,330 megawatts installed capacity for the four power stations. Pakistan has two additional nuclear power plants. The KANUPP 2 and KANUPP 3 nuclear power plants in Karachi each have a 2,290 megawatt capacity.
Without the backing of the IMF, Pakistan, which is heavily in debt, is unable to get bilateral aid or even multilateral financing. Saudi Arabia and the UAE have only offered Pakistan little backing, while only China has remained steadfast in its support.
In 2019, the IMF agreed to give Pakistan USD 6 billion in exchange for meeting a number of requirements. Due to the donor’s desire that Pakistan finish all legalities, the plan was repeatedly delayed, and the final payment is still pending. Since many years ago, Pakistan’s economy has been declining rapidly, putting unrelenting pressure on the underprivileged masses through unrestrained inflation and making it nearly difficult for a large number of people to make ends meet.
