OBOR initiative of China: Bangladesh participation

There's an old Chinese saying: "If you bond together for profit, when the profits stop the relationship ends. If you bond together for power, when the power stops the relationship ends. Only when you bond together with a true heart can a relationship truly last."
Bangladesh whole heartedly welcomes the visit of Mr Xi Jinping, the President of People's Republic of China, during October 14-15, 2016. It is also the  part of the Asian economic giant's ambition to advance with its "One Belt, One Road" initiative  to revive the ancient Silk Road trading route from Asia to Europe by enhancing economic ties and investing in transport hubs.
"Bangladesh, with its favourable geographic location and huge population, market potential and cooperation space, is an indispensable partner for China to advance the Belt and Road initiative," President Xi Jinping wrote in a leading Bangladesh newspaper.
'One belt, One Road (OBOR)' is a development strategy initiated by the Chinese government in 2013. It refers to the New Silk Road Economic Belt and the 21st Century Maritime Silk Road which will link up China with Europe through Central and Western Asia.  The vision and actions on jointly building the Silk Road Economic Belt and 21st-Century Maritime Silk Road, raised by President Xi Jinping during his visits to Central Asia and Southeast Asia in 2013. This development strategy was issued by the National Development and Reform Commission and the Ministry of Foreign Affairs and the Ministry of Commerce of China.
One belt, one road (OBOR): The Silk Road Economic Belt is the land-based component that together with the oceanic Maritime Silk Road forms One Belt, One Road, a Chinese government economic development framework for primarily integrating trade and investment in Eurasia. The Silk Road Economic Belt initiative was announced by President Xi Jinping on a visit to Kazakhstan. The Silk Road Economic Belt  or the "One Belt" begins in Xi'an of Northwest China before expanding its territory to west through Urumqi to Central Asia. From there it goes to northern part of Iran before swinging west through Iraq, Syria, and Turkey. From Istanbul, it crosses the Bosporus Straits and heads northwest through Europe, including Germany and the Netherlands. It then heads south to Venice, Italy.
The other part of the plan is the 'One Road' that begins in China's Quanzhou in Fujian province and heads south to the Malacca Straits. From Kuala Lumpur of Malaysia, it heads to India, then crosses the rest of the Indian Ocean to Nairobi, Kenya. From Nairobi, the Maritime Silk Road goes north around the Horn of Africa and moves through the Red Sea into the Mediterranean. Then it meets the land-based Silk Road in Venice. In fact, the Maritime Silk Road is a complementary initiative aimed at investing and fostering collaboration in Southeast Asia, Oceania, and North Africa, through several contiguous bodies of water -- the South China Sea, the South Pacific Ocean, and the wider Indian Ocean area.
Recent development: Human beings have always moved from place to place and traded with their neighbours, exchanging goods, skills and innovations. Throughout history, Eurasia was criss-crossed with communication routes and paths of trade, which gradually were linked up to form what are known today as the Silk Roads; routes across both land and sea, along which silk and many other goods were exchanged between people from across the world. Maritime routes were an integral part of this network, linking East and West by sea, and were used for the trade of spices in particular.
These vast networks carried more than just merchandise and precious commodities however: the constant movement and mixing of populations also facilitate the transmission of knowledge, ideas, cultures and beliefs, which had a profound impact on the history and civilisations of the Eurasian peoples. Travellers along the Silk Roads were attracted not only by trade but also by the intellectual and cultural exchange that was taking place in cities along the Silk Roads, many of which developed into hubs of culture and learning. Science, arts and literature, as well as crafts and technologies were thus shared and disseminated into societies along the lengths of these routes, and in this way, languages, religions and cultures developed and influenced each other.
When Chinese President Xi Jinping visited Central Asia and Southeast Asia in September and October of 2013, he raised the initiative of jointly building the Silk Road Economic Belt and the 21st-Century Maritime Silk Road (hereinafter referred to as the Belt and Road), which have attracted close attention from all over the world. At the China-ASEAN Expo in 2013, Chinese Premier Li Keqiang emphasised the need to build the Maritime Silk Road oriented towards ASEAN, and to create strategic propellers for hinterland development. Accelerating the building of the Belt and Road can help promote the economic prosperity of the countries along the Belt and Road and regional economic cooperation, strengthen exchanges and mutual learning between different civilisations, and promote world peace and development. It is a great undertaking that will benefit people around the world.
Prioritising area: The Belt and Road Initiative, with its focus on five kinds of connectivity -- policy communication, infrastructure connectivity, trade links, capital flow and understanding among peoples -- bonds together more than 60 countries in Asia, Europe and Africa to work for a community of shared benefits, destiny and responsibility by enhancing mutual political trust, economic integration and cultural inclusiveness.
The belt and road initiatives will benefit:
* 4.4 billion people
* 63? of the global population
* A collective GDP of $2.1 trillion
* 29% of the world's output
Connectivity issue: China's 'One Belt, One Road' strategy can help in managing the challenges and would be able to provide better, integrated connectivity and greater economic opportunities for the connecting countries. The Belt and Road encompasses the continents of Asia, Europe and Africa, connecting the vibrant East Asia economic circle at one end and developed European economic circle at the other, and can create huge potential for economic development of those countries. The Silk Road Economic Belt focuses on bringing together China, Central Asia, Russia and Europe (the Baltic); linking China with the Persian Gulf and the Mediterranean Sea through Central Asia and West Asia; and connecting China with Southeast Asia, South Asia and the Indian Ocean. The 21st-Century Maritime Silk Road is designed to go from China's coast to Europe through the South China Sea and the Indian Ocean in one route, and from China's coast through the South China Sea to the South Pacific in the other.
On land, the Initiative will focus on jointly building a new Eurasian Land Bridge and developing China-Mongolia-Russia, China-Central Asia-West Asia and China-Indochina Peninsula economic corridors by taking advantage of international transport routes, relying on core cities along the Belt and Road and using key economic industrial parks as cooperation platforms. The China-Pakistan Economic Corridor and the Bangladesh-China-India-Myanmar Economic Corridor are closely related to the Belt and Road Initiative, and therefore require closer cooperation and greater progress.
Boost to regional economy: The Belt is an overland network bringing together China, Central Asia, Russia and Europe; linking China with the Persian Gulf and the Mediterranean Sea, and connecting China with Southeast Asia, South Asia and the Indian Ocean.
According to Zhang Yansheng, an economist of the National Development and Reform Commission (NDRC), "Better transportation, electricity, energy and telecommunications means more investment opportunities, a foundation for growth and more jobs. Improvements in infrastructure and financial services will also help trade in the region," he added.
BCIM and CPEC: Closely related networks: In 'Vision and Actions on Jointly Building Silk Road Economic Belt and 21st-Century Maritime Silk Road', it was clearly stated that 'the China-Pakistan Economic Corridor and the Bangladesh-China-India-Myanmar Economic Corridor are closely related to the Belt and Road Initiative, and therefore require closer cooperation and greater progress'.
Infrastructure development: According to the Asian Development Bank, there is an annual "gap" between the supply and demand for infrastructure spending in Asia on the order of $800 billion. In view of development of infrastructure at the heart of the Belt and Road, there is a scope for the initiative to play a constructive role in regional economic integration architecture. On the other hand, the vibrant economy of China is mainly export-oriented and it needs to create domestic demand as well as search new markets for maintaining sustainable growth. Infrastructure development plans such as network of ports can help Chinese goods to enter regional markets easily and also can create huge demand.
Energy security: Currently, Asia faces several energy needs. Its growing countries are demanding more energy as well as energy-sensitive products such as iron, steel, cement, electric appliances and cars. They are also increasingly looking to adopt clean energy. This fast-growing energy consumption requires more reliable and efficient infrastructure and markets. Under the broader aspect of "One Belt, One Road" initiative, China may help offset this major challenge. China may invest in energy projects ranging from upstream projects, oil and gas pipelines, and liquefied natural gas terminals to high-voltage power lines, nuclear power and renewable energy. It may create a more efficient and better integrated energy network in the region. As such, a hub and proper pricing system is necessary to facilitate the fast-growing market for natural gas in the region. Some of China's harbour cities such as Shanghai and Tangshan, in Hebei, have put forward the idea of developing a natural gas hub. Given the rising demand, participation by other East Asian economies can turn this vision into reality. In terms of a more integrated energy network, the design of the "One Belt, One Road" initiative offers all Asian countries better energy connectivity, more economic opportunities for local communities and stronger communication among different nations and peoples.
Free trade area: "Belt and Road" Initiative is expected to promote free trade agreement negotiations with countries along the routes, improving the flow of exports and imports.
Silk road fund and financial integration: 'Financial integration is an important underpinning for implementing the Belt and Road Initiative. We should deepen financial cooperation, and make more efforts in building a currency stability system, investment and financing system and credit information system in Asia. We should expand the scope and scale of bilateral currency swap and settlement with other countries along the Belt and Road, open and develop the bond market in Asia, make joint efforts to establish the Asian Infrastructure Investment Bank and BRICS New Development Bank, conduct negotiation among related parties on establishing Shanghai Cooperation Organization (SCO) financing institution, and set up and put into operation the Silk Road Fund as early as possible' (According to the 'Vision and Actions on Jointly Building Silk Road Economic Belt and 21st- Century Maritime Silk Road).
People-to-people bond: According to the 'Vision and Actions on Jointly Building Silk Road Economic Belt and 21st-Century Maritime Silk Road', 'People-to-people bond provides the public support for implementing the Initiative. We should carry forward the spirit of friendly cooperation of the Silk Road by promoting extensive cultural and academic exchanges, personnel exchanges and cooperation, media cooperation, youth and women exchanges and volunteer services, so as to win public support for deepening bilateral and multilateral cooperation'.
The Belt and Road Initiative is an integrated project which should be jointly built through mutual consultation regarding interests of every stakeholders and efforts should be made to integrate the development strategies of the countries along the Belt and Road. The Chinese government has published the Vision and Actions on Jointly Building Silk Road Economic Belt and 21st-Century Maritime Silk Road to promote the implementation of the Initiative, install vigour and vitality into the ancient Silk Road, connect Asian, European and African countries more closely and promote mutually beneficial cooperation to a new high and in new forms. Bangladesh has backed China's "One Belt, One Road" initiative to boost trade and transport links across Asia and into Europe, considering it as an opportunity to elevate growth.
The writers are Senior Assistant Director (Research), Daffodil International University, Dhaka, Bangladesh, ([email protected]); Assistant Chief, Bangladesh Tariff Commission, Dhaka, Bangladesh; and Assistant Director (Research), Daffodil International University, Dhaka, Bangladesh, ([email protected])respectively.