China’s One Belt One Road Initiative – An Indian Perspective

Abstract

President Xi Jinping formally publicised China’s “One Belt One Road” (OBOR) initiative while inaugurating the Boao Forum for Asia Annual Conference at Hainan on March 28, 2015. Simultaneously, the National Development and Reform Commission of China released the full document at Beijing, which lays out a comprehensive plan for OBOR’s implementation in the years ahead. The proposal consists of two distinct parts. One is the Silk Road Economic Belt, stretching across Asia to the Atlantic Ocean; and the other is the 21st Century Maritime Silk Road, linking China’s eastern sea board to the Indian Ocean and to the Persian Gulf and East Africa. The importance of this initiative must not be underestimated. It is the centrepiece of the economic, political and strategic policy framework of the Fifth Generation Leadership of China under Xi Jinping. Some have suggested that OBOR is a version of China’s Marshal Plan. Others have argued that this is one way to expand China’s economy and invest China’s surplus foreign reserves for its greater economic and strategic advantage. It is likely to also give a boost to the PLA Navy’s far sea activities and an expanded role in the Indian Ocean and beyond. Whatever it may end up being in practice, there is no doubt that it will impact in a significant way on Asia and on parts of Europe.