It will still be a game changer if US/EU don't understand it but Pakistan needs to prevent subversion by US &c. as was successful all to often since 1947.
Who are the "rivals?" If you mean China and Pakistan, then your statement is demonstrably false for the latter, because evidence show India's economic development is ahead of Pakistan. Please note I have no personal agenda on India v Pakistan as I respect both societies. But, facts are facts.
Yes, data show that to be the case. Also, economic investments by China might improve Pakistani development to where it shoot past India and view it in the rear view mirror. However, temporary gains from investment would falter unless sustained by enlightened policy makers and political leaders who manage the country for long-term prosperity. That's harder to achieve in democratic, multi-party nations than countries run by enlightened authoritarian leaders, like China.
