Missed Opportunities: Pakistan's Struggle with the China-Pakistan Economic Corridor

A senior Pakistani minister recently admitted that Pakistan failed to capitalize on the China-Pakistan Economic Corridor (CPEC). Blaming the former government for thwarting Chinese investments, he acknowledged that despite short-term gains, long-term CPEC goals remain unachieved, stalling industrial growth and international investment.

In a candid acknowledgment, a senior Pakistani minister has admitted to the nation's failure to leverage the China-Pakistan Economic Corridor (CPEC), a crucial part of China's global Belt and Road Initiative. Planning Minister Ahsan Iqbal noted that negative campaigns under Imran Khan's government led to the withdrawal of Chinese investors.

The CPEC, a USD 60 billion infrastructure venture connecting China's Xinjiang and Pakistan's Gwadar port, has seen stunted progress, particularly since 2018. Despite fourteen meetings of its Joint Cooperation Committee, significant progress halted after 2017, the year of their seventh meeting.

While Pakistan enjoyed transient benefits from the CPEC, the lack of advancements in its second phase, aimed at boosting industrialization and exports, highlights missed opportunities. Pakistani assurances to improve investment environments have yet to materialize in attracting robust foreign participation in Special Economic Zones.

(With inputs from agencies.)