However, the West, led by the United States, labeled CPEC as an example of “debt trap diplomacy,” portraying China as an exploitative power, hiding its geopolitical goals under the guise of infrastructure diplomacy. Out of $62 billion, $35 billion was spent on funding 21 power projects, making power the most expensive sector of CPEC. Another reason for the circular debt in CPEC power plants is the poor planning of coal-based power plants such as Sahiwal, Port Qasim, and Hub. In reality, FDI’s contribution to CPEC projects is negligible; the overwhelming majority of projects are funded through commercial loans. Thus, CPEC being an instrument of Chinese debt trap diplomacy is a myth.