India’s Global Innovation Partnership (GIP) launched with PM Narendra Modi-Boris Johnson at UK summit provides a blueprint to use TDC funds for trilateral projects with other countries like Japan, Germany, France and EU Will do
Everyone knows about Dragon’s Belt and Road Initiative. Under which he is manufacturing CPEC. Through this project, China has made a plan to go to Europe via Afghanistan, Pakistan. To which India objected. The reason for the objection is that this corridor passes through Pakistan Occupied Kashmir (PoK), which India considers its part. But now something has happened that China would never have thought of even in a dream, India has done something like this as a counterweight to its trickery. What India has done as a cut of the Dragon’s Belt and Road Initiative will blow Chinese President Xi Jinping’s senses. In competition with Jinping’s Belt and Road Initiative, India has launched the Trilateral Development Corporation (TDC) fund. Recently, British Prime Minister Boris Johnson visited India.
Preparation for large scale investment in Indo Pacific region
According to media reports, when India’s PM Modi and British PM Johnson met, an important deal was also signed between the two countries. India’s Global Innovation Partnership (GIP) launched with UK at PM Narendra Modi-Boris Johnson summit provides a blueprint to use TDC funds for trilateral projects with other countries like Japan, Germany, France and EU Will do India’s contribution to GIP will be channelized through the TDC fund. GIP will seek to enhance innovations developed by Indian enterprises to select developing countries in Africa, Asia and the Indo-Pacific, ET reported.
China’s debt trap
China’s old formula is investment and attractive promises of business. Whether it is Sri Lanka or Maldives, Pakistan or Nepal, Mauritius, Myanmar invests a lot in these countries and sells dreams of progress and then through this loan, it serves its strategic interests. China saw the Sri Lankan civil war as an opportunity to overtake India. Many geopolitical experts also refer to Sri Lanka as an example of China’s “strategic or debt-trap” diplomacy. The bulk of China’s debt is linked to BRI.
China identifies a distressed nation and offers the money not in the form of aid but in the form of commercial borrowings.
Countries with a struggling economy are owed debt and contracts go to Chinese companies.
If interest is not paid or the debt is not repaid, China receives the real estate as equity.
Concerned India has taken strong cognizance of what has happened in Sri Lanka. India’s Finance Minister Nirmala Sitharaman has said that China should be treated like any other creditor once talks begin to restructure Sri Lanka’s debt. India has provided substantial support to the island nation to help it tide over the unprecedented economic slowdown and acute shortage of essential commodities. Bangladesh is no different as far as the growing influence of China is concerned. In recent years, China has increased its investment in Bangladesh, and the borders of trade between the two countries have widened. Even Washington wants Bangladesh to join forces with New Delhi to counter common rival Beijing. Events such as China’s alleged pressure to set up a missile maintenance center in Bangladesh have also worried India.
India’s counter action
In such a situation, the biggest question is what is India doing to counter China? The quad formed between Australia, India, Japan and the United States has bothered China a bit. India’s immediate concern is its neighborhood and the Quad’s own borders. Therefore, apart from bilateral talks, visits, aid, infrastructure and development projects, India is seeking to deepen its ties with its neighbours, especially the Himalayan nation of Nepal, for which India is the largest trading partner. Nepal is also running out of foreign exchange reserves and it seems that its economy is in trouble on its way to Sri Lanka. On the other hand, more than a year after the military overthrew Myanmar’s democratically elected government, India is pursuing a dual approach. The idea is to continue to push for a return to democracy while negotiating with Myanmar’s military, which is backed by China.