China-Pakistan Economic Corridor (CPEC) is a strategic economic project to enhance trade connectivity between Pakistan and China. This multi-dimensional project has opened Pakistan’s rebalancing options from geopolitics to geo-economics. This multi-billion project in Pakistan includes energy projects, infrastructure development, industrialisation, and the expansion and improvement of Gwadar port.
The project has excellent potential for Pakistan in both economic and regional domains. This mega project will transform Pakistan into a regional financial hub. There are ample opportunities for foreign investors to invest with 100% equity. Foreign investment will enhance the region’s prosperity, improve business-to-business cooperation, and reduce the burden of loans. It will also boost Pakistan’s economic wealth, increasing its rank in the world’s prosperity and success indexes.
Recently, the government has decided to expand the China-Pakistan Economic Corridor (CPEC) scope to explore the Gateway of Prosperity for both countries. According to the Economic Survey 2021-22, the Pakistani government considers CPEC as a long-term development project as it has the potential to serve as a corridor with multiple doors connecting China with Central Asia, the Middle East, Africa and Europe. The Survey 2021-22 also revealed that Pakistan and China have successfully launched 56 projects under CPEC.
Furthermore, the countries have also actively implemented the Belt and Road Initiative (BRI) projects. Of these projects, 26 projects worth approximately US$17 billion have been completed so far, and 30 projects worth US$8.5 billion are under construction. Moreover, about 36 projects with an estimated cost of US$28.4 billion were also under different stages of negotiations for inclusion in the CPEC framework.
These new projects include upgrading transportation and communication systems and developing new roads, highways, motorways, railway tracks and airports to improve connectivity under CPEC. In a nutshell, The CPEC is a pragmatic step to convert Pakistan’s unique geo-strategic location into geo-economics through various transport-related projects that will transform its road infrastructure and improve access to central Asian, African and European states.
Leave a Reply