The stakeholder analysis for SEA of Chinese foreign direct investment: the case of ‘One Belt, One Road’ initiative in Pakistan

Abstract

This paper reports on a stakeholder analysis conducted for Strategic Environmental Assessment (SEA) on Chinese foreign direct investment (FDI), taking the ‘One Belt, One Road’ initiative (OBOR) in Pakistan as a case study. Based on a three-level framework of stakeholder analysis – identification, investigation and communication, the study aims to develop an understanding of stakeholders’ characteristics, examine social network functions, and make recommendations for Chinese FDI in Pakistan for reducing environmental and social challenges and for seizing the opportunities noted by stakeholders in particular. Results suggest that stakeholders have a positive attitude towards Chinese FDI in Pakistan. Air quality and water consumption were identified as the top two challenges on Chinese FDI. Generally speaking, opportunities of investment were seen to be more important than challenges, such as increasing energy reserves, water quality improvement and social-economic development. Based on the results, it is suggested that SEA can help to generate a win–win strategy for both countries.