China Pakistan Economic Corridor

⮚ Introduction
⮚ Benefits for Pakistan:
o Expeditious development of infrastructure
o Fulfillment of investment gap
o Mitigation of energy crisis
o Creation of employment opportunities
o Development of transportation
o Boost to tourism industry
o Opportunites for skill development
o Access to Chinese markets
o Pakistan's importance as transit economy
⮚ Benefits for China:
o Utilization of China's idle industrial capacity
o Easy access of raw material
o Diversification of energy resources and their routes
o Security of trade routes
o Greater control over Indian Ocean
o Reduction of fuel costs
o Pioneer of new road of economic globalization
o Relative decline of US as a dominant power
o Overcoming poverty in Xinjiang
⮚ Challenges for Pakistan:
o Inflated expectations regarding economic boost
o Environmental costs of the project
o Provincial tussles as an impediment
o Security concerns and Balochistan insurgency
o Fear regarding China's debt trap diplomacy
o US perceptions about CPEC
o Indian interests in South Asian region