CPEC- The New Economic Corridor for South Asia: Potential and Problems

Abstract

China and Pakistan have long developed strong bilateral trade, coperation and economic ties over the past years. CPEC is one feat of such initiative between Pakistan and china. CPEC is expected to strengthen the trade and economic cooperation between the two participating countries. CEPC will connect Gwadar with Kashgar, city of Xinxiang province in China, through rail and road network. Besides meeting China’s energy needs and developing its north western region, China Pakistan Economic Corridor will upgrade Pakistan’s existing rail and road infrastructure while opening up new investment/ economic opportunities in the country. CPEC is expected to benefit the people of countries in South Asia. In turn it will contribute in maintaining stability in the region and economically integrating the region. The research paper assesses threats and risks that could hinder CPEC’s implementation. Alongside it also views new opportunities that it may provide to Pakistan. For this purpose we studied existing corridors to have a better idea of which pitfalls to avoid and what areas to exploit in order to make CPEC a success .Political social environmental aspects were explored with the aim of gauging the success of the project