The China-Pakistan Economic Corridor (CPEC), a great game changer, is a long-term strategic programme being implemented by China in Pakistan.
CPEC is designed to foster industrialization, trade facilitation, regional connectivity, integration within global value chains and socio-economic development. The CPEC, an initiative under the Belt and Road Initiative (BRI) of Chinese President Xi Jinping, also focuses on poverty alleviation, agricultural modernization, operationalization of Gwadar Port and promoting the blue economy.
The first phase of the CPEC has quite successfully been completed, during which Early Harvest Projects were prioritized, focusing heavily on energy and infrastructure. These early investments duly addressed critical deficiencies and laid a solid foundation for accelerated economic growth and around 38 projects were completed in numerous sectors worth more than US $25 billion as a result of which Pakistan has seen a rise in industrial activity, improved logistics and growing investor confidence. It also delivered a long-term stimulus to the national economy.
It was in the air for some time that, on the basis of appreciable achievements during the first phase, the CPEC should be expanded and upgraded, covering more corridors in addition to the economic corridor. This important development was under discussion and deliberated at the highest appropriate levels in Beijing and Islamabad for some months. But, somehow, an official launching of the CPEC expansion and upgradation was being delayed on one account or the other. However, the developments which took place during Prime Minister Muhammad Shehbaz Sharif’s visit to Beijing and interaction with the top Chinese leadership were quite appreciable and indeed welcomed, as it was better late than never.
China and Pakistan have at last agreed to upgrade the great game changer China-Pakistan Economic Corridor (CPEC), which has since transitioned into its Phase 2.0 after successful completion of the first phase. The new five Corridors are for Growth, Innovation, Green Development, Livelihood and Regional Connectivity/Openness, thereby prioritizing industrialization, socio-economic development and regional connectivity.
While in China, the PM availed the opportunity to hold bilateral meetings with a number of world leaders present in the SCO Summit in Tianjin, including Russian President Putin, Turkish President Erdogan, Presidents of Azerbaijan and Uzbekistan and exchanged views for further strengthening the prevailing friendly relations and promoting trade, economic and investment cooperation in a mutually beneficial manner.
The PM, who was accompanied by a high-level delegation, not only held one-on-one meetings with Chinese President Xi Jinping and Premier Li Qiang but also led delegation-level talks with the Chinese hosts in Beijing.
The Chinese and Pakistani leaders discussed bilateral ties and economic cooperation and reaffirmed shared resolve to further strengthen the iron-clad, all-weather strategic cooperative partnership between China and Pakistan.
The PM also addressed the B2B (Business to Business) Investment Conference in Beijing where a large number of Chinese businessmen had hooked up with Pakistani businessmen, marking the new phase of CPEC, which indicates a good and promising shift from just being primarily government-to-government interaction to Chinese and Pakistani business-to-business contacts. This had become quite clear at the B2B Investment Conference with the signing of as many as 21 Memorandums of Understanding (MoUs) and joint ventures worth about $8.5 billion covering agriculture, electric vehicles, solar energy, health, chemicals and pharmaceuticals, iron and steel, science and technology, information technology, media and other sectors. From now onwards, CPEC would not just be served by roads and rail, such as smooth passage of goods and raw materials from Gwadar Port to China through Pakistan, but also by establishment of the Special Economic Zones (SEZs) where goods of all sorts would be manufactured for export. Following the signing of a number of MoUs and joint ventures, these SEZs would now be activated with the planned upgradation of the main railway line from Karachi to Peshawar (ML-1) as the focus of CPEC’s next phase is going to be on infrastructure development.
The PM held a bilateral meeting with Chinese President Xi Jinping at the Great Hall of the People wherein both leaders agreed that the relationship between the two countries was quite unique and unparalleled, which must be duly reflected in their enhanced cooperation. President Xi Jinping’s vision for Pakistan quite obviously emphasized sustained development, strengthened economic cooperation and shared prosperity, highlighting the importance of security, strategic partnership and regional progress for a mutually beneficial future.
On his part, PM Shehbaz Sharif, during his interaction with the top Chinese leadership, availed the opportunity to express deep gratitude to the Chinese leadership and nation for their unflinching support to Pakistan’s territorial integrity, sovereignty and socio-economic development. The PM paid rich tributes to China’s quite impressive transformation under President Xi Jinping’s visionary leadership.
Terming the signing of the Joint Action Plan 2024-2029 as an important step, the PM congratulated the Chinese leadership on hosting quite successfully the SCO Council of Heads of State Summit in Tianjin.
Security of the Chinese personnel working on different development projects in Pakistan, mainly under the overall framework of CPEC, also figured during the PM’s meetings with President Xi Jinping and Premier Li Qiang.
The PM’s another visit to China and interaction with top Chinese leadership quite obviously augurs well for taking the Pak-China ties to unprecedented heights and the signing of a number of MoUs and joint ventures at the B2B Investment Conference as well as upgradation of the CPEC was quite a positive step forward in this regard. Hopefully, implementation of the MoUs and joint ventures will be ensured quite sincerely, dedicatedly and determinedly for reaping the mutually beneficial fruits positively for both countries at the earliest possible. ([email protected])
