Tumultuous developments in Pakistan have created a less welcoming environment for foreign aid, as China’s generous investments into Pakistan seem to have come to a grinding halt.

The China-Pakistan Economic Corridor (CPEC) is an essential component of Beijing and Islamabad’s economic relationship, but the CPEC has faced extensive pressures internally and externally, including strong criticism from the U.S. and India.

Existing tensions between India and Pakistan are being stoked by the U.S. and China, with all parties seeking the elimination of perceived threats for rapid economic growth and security.

Pakistan is struggling to contain COVID-19 due to a lack of resources and its flawed government systems. But rather than facing the blame of starting the pandemic, China will emerge as a benefactor and ally, in the minds of the Pakistani public.

India and China’s nuclear deterrence allows both countries to undertake bilateral problem solving without fear of conflict escalation, while the United States and China can simultaneously work to reduce overall global nuclear risks.

China is stuck between a rock and a hard place – as the trilateral dispute over Kashmir continues, China may have difficulty managing the strong economic partnership it has with Pakistan as it tries to build a new alliance with India.

An Indo-Pakistan conflict was prevented from turning into full blown war by China and other countries. However, the threat for future conflict between both countries lingers on.

Newly-appointed Pakistani Prime Minister Imran Khan has two realistic options: to further inflate the country’s Chinese debt, or to look to the International Monetary Fund for a bailout for the 15th time since the 1980s. Both options have serious drawbacks.

Pakistan now has a new government. But will this change Pakistan’s relationship with one of its closest allies - China?

As Pakistan’s new prime minister takes the reins of power, he will be forced to adapt to his country’s shifting relationships with two world powers: China and the United States.