ISLAMABAD – China–Pakistan Economic Corridor (CPEC) is set to enter its next transformative chapter. Federal Minister for Planning, Professor Ahsan Iqbal, unveiled plans for Phase-II, describing it as the engine that will drive Pakistan’s growth, regional connectivity, and shared prosperity.
Pakistan, the country of 242 million, is on brink of an economic revolution as Federal Minister for Planning, Development, and Special Initiatives, Professor Ahsan Iqbal, declared that Phase-II of the China–Pakistan Economic Corridor (CPEC) will be the “engine of next-level regional connectivity and unprecedented growth.”
Speaking at 14th meeting of the Joint Cooperation Committee (JCC) for CPEC, co-chaired with China’s National Development and Reform Commission (NDRC) Chairman Zheng Shanjie, Iqbal said the corridor’s five transformative corridors will align perfectly with Pakistan’s 5Es framework: exports, e-Pakistan, energy and environment, and equity and empowerment.
The 14th JCC meeting solidifies the unbreakable bond between Pakistan and China, moving CPEC into its next transformative era. pic.twitter.com/ynbtkbDn2u
— CPEC Official (@CPECOfficials) September 26, 2025
Having co-chaired 11 of the 14 JCC meetings, the minister said he has watched CPEC evolve “from an idea on paper into a monumental reality,” and reaffirmed the commitment to make Phase-II a corridor of industrialization, cutting-edge technology, sustainability, and shared prosperity. This vision is anchored in a detailed action plan signed during Prime Minister Shehbaz Sharif’s visit and reinforced with President Xi Jinping and Premier Li in September 2025.
The roadmap for Phase-II covers industrial cooperation, special economic zones, modern agriculture, maritime development, mining, technology, and landmark connectivity projects including the Main Line-1 (ML-1) railway, Karakoram Highway (KKH), and Gwadar port. Iqbal emphasized the urgency of completing the ML-1 railway and realigning the KKH, affected by a major hydropower dam, to ensure uninterrupted connectivity between Pakistan and China.
To accelerate progress, he proposed JCC meetings every six months and quarterly joint working groups for the first three years, echoing Phase-I practices. He also assured Chinese partners of Pakistan’s unwavering commitment to the safety of all CPEC projects and Chinese nationals working in the country. The next JCC meeting is slated for May 2026 in Islamabad, coinciding with the 75th anniversary of Pakistan-China diplomatic relations.
Ahsan hailed 17 major energy projects worth nearly $18 billion, generating over 8,000 MW, as pivotal in ending crippling power shortages. Pakistan’s energy mix now includes Thar coal, hydropower, and renewables. On connectivity, over 888 kilometers of modern highways now integrate regions into a single economic space, while China has confirmed 85% financing for the Thakot Dry Port–KKH realignment, which must be completed by 2028.
On railways, he proposed a blended financing model: AIIB for the Multan–Rohri section and ADB for Karachi–Rohri, expediting the critical ML-1 modernization. Meanwhile, Gwadar has been transformed from a quiet fishing town into Pakistan’s maritime gateway, boasting an international airport, hospital, vocational center, desalination plants, and solar facilities, with plans to market it as a regional logistics hub serving Central Asia and the Gulf, led by COSCO.
“These projects are more than infrastructure—they are milestones of trust, confidence, and shared progress,” Iqbal said, calling Phase-II “high-quality, inclusive, and sustainable growth in action,” perfectly aligned with Pakistan’s 5Es framework and CPEC 2.0’s five corridors.
With nearly 60% of Pakistan’s population under 30, youth empowerment is central to the vision. Iqbal proposed 10,000 joint PhD scholarships in AI, engineering, and emerging sciences at China’s top 50 universities over the next decade, along with vocational training programs, innovation centers, and internships in Chinese enterprises to prepare Pakistan’s youth for leadership in technology, industry, and green development.
He also suggested piloting China’s poverty alleviation model in one district per province and replicating China’s rural-urban linkages through e-commerce, agri-logistics, and digital platforms, connecting small producers directly to markets in both countries.
On trade, Iqbal stressed the urgent need to boost exports. Despite China’s $2 trillion in annual imports, Pakistan’s exports barely reach $3 billion. He called for CPEC-facilitated preferential market access similar to ASEAN countries to enable Pakistani products to compete fairly in China.
Professor Ahsan Iqbal concluded, “Together, with renewed determination and shared vision, we will ensure the next decade of CPEC brings even greater transformation than the last. This is not just progress—it is a new era for Pakistan, youth, industry, and our region.”
CPEC 2.0 takes off at 14th JCC Meeting on Sept. 26 in Beijing
