Saba Javed

Pakistan is ready to shift from geo-politics to geo-economics for the best use of its capabilities to bolster development, reports WealthPK. Geo-economics is the framework for interpreting state conflict, while geo-politics is the outmoded model for understanding states. Pakistan's shift toward geo-economics is probably going to confront numerous difficulties. Given the harsh reality of geopolitics, Pakistan will be unable to resist structural imperatives. The geo-economic strategy is the use of economic resources for political objectives in order to maximise economic gains.

It is the use of economic instruments to advance and defend national interests as well as to produce profitable geopolitical outcomes. A larger focus on geo-economics is the solution if Pakistan actually wants the world to see it differently, not through its weaknesses but rather through its strengths. The Belt and Road Initiative (BRI) is a striking illustration of geo-economics. The present administration in Pakistan is attempting to adopt a similar geo-economic strategy and is fully aware of the geopolitical constraints.

According to economist Professor Zahid Mehmood Akhter, it is hard to distinguish between geo-politics and geo-economics in particular from those nations where political economy permeates every aspect of economy. Pakistan’s economic structure is basically political. Therefore, if Pakistan wants to create a relationship with China, be it geo-political or geo-economic, it must consider both sides.

Pakistan cannot entirely shift from geo-politics to geo-economics because they are interrelated. The country must implement a geo-economic policy to benefit from politics. Therefore, it is essential that both of these strategies be integrated if Pakistan is to create and maintain a strong partnership with China.

BRI is the way to go if Pakistan wants to achieve its objectives of increased regional connectivity, increased trade and commerce, FDIs, infrastructure development, poverty alleviation, and creation of new jobs. BRI, China-Pakistan Economic Corridor (CPEC), and Shanghai Cooperation Organization (SCO) will enhance the chances of securing economic gains as well as resolving security issues. Akhter said geo-economics was not an easy task.

“To fully gain from our economic geography, we will have to put in a lot of effort. We will have to boost the competitiveness of our sector and connect to the global supply networks, eliminate red-tape and prioritise making it easy to do business nationally. It would be necessary to take a whole-of-government strategy, with all interested parties supporting this national cause. Industrialization should be vigorously encouraged because it generates jobs and either makes or saves us hard currency,’’ Akhter said.

Credit : Independent News Pakistan-WealthPk