Politico-Economic Implications of CPEC on Pakistan

Abstract

Pakistan and China signed an agreement on November 8, 2014 regarding “China Pakistan Economic Corridor” with initial cost of about US $ 48 billion. The project was declared as a game changer for the entire region by the then premier of Pakistan, Nawaz Sharif whereas the Chinese Premier Wang Yi declared the same as the “flagship project” of OBOR initiative. The project would be completed in three phases, i.e. Short-term, medium-term, long-term with proposed dates of 2020, 2025 and 2030 respectively. CPEC is the real face of president Xi’s “constructive engagement” policy, will change the fate of the region. Pakistan, at the mouth of “OBOR” initiative would get maximum benefits under “CPEC” project. Economic development will cause political stability. The major objective of the study is to investigate the multifaceted worth of the project and its impact on Pakistan. Analytical and predictive methodology is adopted. This study concluded that the project would upgrade the life standard of the local Pakistani and will bring massive benefits to Pakistan in term of stability, security and development. CPEC will convert Pakistan’s location into an asset.