Prelims level : IR Mains level : BCIM Economic corridor
No Set Found with this ID

Why in News?

  •  China has said that the Bangladesh-China-India-Myanmar (BCIM) Corridor will not be a part of the Belt & Road Initiative.

BCIM Economic Corridor:

  •  The BCIM economic corridor aims to connect Kolkata with Kunming, capital of the Yunnan province.
  •  It envisages formation of a thriving economic belt, focusing on cross-border transport, energy and telecommunication networks.

Significance of BCIM:

  •  India will benefit in terms of the development of the Kolkata port and the opening up of the economic potential of the northeast states.
  •  It offers India an opportunity to create its own win-win relationship with China.
  •  It can use the economic corridor for negotiating downstream industries to be located within India. With natural gas reserves of about 200 trillion cubic feet, the largest in the Asia-Pacific, Bangladesh could become one of the major energy exporting countries
  •  Promotes tourism. It is pivotal for India’s ‘Act East’ Policy.
  •  Access to several booming markets in Southeast Asia, improvement of transport infrastructure and setting up of industrial zones.
  •  It would facilitate cross-border movement of people and goods, reduce overland trade bottlenecks, ensure access and increase volume of trade
  •  Reduce transaction costs, enhance trade and investment and poverty alleviation in the region.

Belt and Road Initiative (BRI):

  •  China’s Belt and Road Initiative (BRI)is an ambitious programme to connect Asia with Africa and Europe via land and maritime networks along six corridors with the aim of improving regional integration, increasing trade and stimulating economic growth.
  •  The BRI comprises a Silk Road Economic Belt – a trans-continental passage that links China with south east Asia, south Asia, Central Asia, Russia and Europe by land – and a 21st century Maritime Silk Road, a sea route connecting China’s coastal regions with south east and south Asia, the South Pacific, the Middle East and Eastern Africa, all the way to Europe.
  •  The programme is expected to involve over US$1 trillion in investments, largely in infrastructure development for ports, roads, railways and airports, as well as power plants and telecommunications networks.
  •  The BRI’s geographical scope is constantly expanding. So far it covers over 70 countries, accounting for about 65 per cent of the world’s population and around one-third of the world’s Gross Domestic Product (GDP).
  •  The initiative defines five major priorities:
  •  Policy coordination;
  •  Infrastructure connectivity;
  •  Unimpeded trade;
  •  Financial integration and Connecting people.
Share Socially