KARACHI: China is no longer a sleeping giant—it has awakened and astonished the world with its remarkable scientific progress and technological advancements, all of which offer a great many lessons for the developing world, foremost among them being the importance of “consistency in economic policy.”

This was the concerted view of eminent banker, author and academic Sirajuddin Aziz during his lecture, “China’s Transformation: Lessons for Developing Countries”, at the Pakistan Institute of International Affairs (PIIA) on Saturday.

The avid “China watcher”, who is also the Federal Banking Ombudsman of Pakistan and has served in various capacities in China, especially in the banking sector, traced the intricate historical developments of the neighbouring country during the talk.

Mr Aziz said that the ancient civilisation saw many ups and downs during its 6,000 years of known history and experienced great political upheavals but it never deviated from its path of economic development.

Avid ‘China watcher’ offers insights into the country’s path to success and lessons it holds for Pakistan

The great revolutionary leader and political theorist Mao Zedong founded the People’s Republic of China in 1949 and later there was a “Great Leap Forward” which was an industrialisation campaign within the country from 1958 to 1962, led by the Chinese Communist Party, he shared.

He said the Chinese bureaucracy and establishment followed their macroeconomic policy framework relentlessly, which was formulated by their visionary politicians.

The senior banker was of the view that in order to emulate China’s progress, “we must follow the steps that China took”. In this connection he stressed the importance of a “dedicated bureaucracy” in order to pursue the economic strategy formulated by politicians.

“For emulating Chinese style”, he said, “it is essential to formulate a long-term policy and implement it consistently, without allowing political changes to compromise its integrity,” Mr Aziz said and added: “You debate over the budget, which is just an annual financial plan, for at least three months, but you never discus policy, which could have long-term consequences.”

He stressed that Pakistani politicians need to sit together and work on making such a policy. “After that we need a bureaucracy to implement that plan. Political changes may occur, but once a policy is finalised, it should remain unchanged,” he stressed.

Mr Aziz highlighted that China has a huge population to feed and to meet this challenge, they made a policy and followed it thoroughly.

“One Country, Two Systems” was a principle proposed by Deng Xiaoping — the architect of modern China — as a framework for reunifying China while preserving the distinct political and economic systems of regions like Hong Kong, Macau, and (proposed for) Taiwan.

They set up coastal Special Economic Zones (SEZs), which were a key part of Deng Xiaoping’s economic reforms starting in 1980.

Mr Aziz added that while the original SEZs numbered just a few, China later expanded the concept, establishing 13 “Coastal Open Cities”, which functioned similarly to SEZs by offering preferential policies to attract foreign investment and boost exports.

The cities became major engines of China’s export-driven growth. Their targets were their rivals and competitors like Japan, South Korea, etc.

Mr Aziz also spoke on the bilateral relations between Pakistan and China, saying that Chinese premier Zhou Enlai played a pivotal role in laying the foundation for the strong and enduring relationship between the two neighbours, especially during the 1950s and 1970s.

PIIA chairperson Dr Masuma Hasan also spoke on this occasion.

Published in Dawn, July 13th, 2025