CPEC: THE FUTURE OF CHINA-PAK RELATIONS
The China-Pakistan Economic Corridor (CPEC) is an assortment of infrastructure projects currently under development in Pakistan. The cumulative value of all CPEC projects is $62 billion with future projects expected to amplify the valuation considerably. CPEC intends to massively improve the Pakistan economy by rapidly enhancing the country’s infrastructure including modern transportation networks, energy projects, and special economic zones.
Although CPEC work is still in its infancy stages it has already helped Pakistan ascend the global competitiveness scale. According to a report by PWC Pakistan will be the world’s 20th largest economy by the year 2030 and CPEC will result in the creation of over 2.3 million new jobs.
CPEC has a significant strategic and economic importance for China and Pakistan linking China with markets in South Asia and Central Asia. Xinjiang, China’s largest province, will be connected with the port of Gwadar in Balochistan.
Launched in 2015, CPEC is the flagship project of OBOR. Declared by China’s President Xi as ‘the project of the century’, the One Belt, One Road Initiative (OBOR), will deliver an estimated $5 trillion worth of investment into the infrastructure of 52 countries.
OBOR will reinvigorate the old Maritime Silk trading route and increase connectivity between the Asian, European and African continents.
Pakistan is one of the 52 countries that will benefit significantly from OBOR, with the port city of Gwadar in a prime location for investment.