Ten Years Of CPEC: What Are The Plans?
The everlasting friendship between Pakistan and China is an example for the world. To make this relationship stronger, China started a CPEC plan ten years ago today so that the relationship between the two countries should be increased to strengthen the mutual relations. Under this project, starting at the cost of $64 billion, Sang Kyong, the city of China has been merged with Gwadar for the delivery of cargo, oil and gas through roads, railways and pipelines. In addition to overcoming the ongoing energy crisis in Pakistan and load shedding, many power plants have also started to work to close the bottle, while some other projects are near completion. The most important part of this industrial cooperation project is the nine priority special economic zones formed in different parts of Pakistan, where Chinese companies have to provide technology transfer and employment in Pakistan. Four of these economic zones are being completed on fast track.
Under the pack, Punjab’s only economic zone is being built in Allama Iqbal industrial city Faisalabad, which has completed more than 25% of the work, while Rushki special economic zone Khyber Pakhtunkhwa 30%, Bostan special economic zone Balochistan, 20% and more than five percent work on Dhabiji special economic zone Sindh has been completed. According to the goals set in this regard, all the economic zones were to be completed by 2020, but due to the corona outbreak, their completion was delayed, but now it is expected that these economic zones will be completed as soon as possible, which will start the new era of development in Pakistan. The main objective of these preferential special economic zones is to promote economic cooperation between the two countries by shifting Chinese industries to Pakistan. Apart from this, According to an estimate, the completion of the preferred special economic zones under the CPEC is expected to create two million jobs and increase business activities by one trillion rupees annually. Apart from this, these economic zones are also important for the increase in industrial production, transfer of technology and import substitution.
China’s investors are playing an important role in the development of Pakistan and strengthening the economic relations of both countries. As its chairman, Faisalabad industrial estate development and Management Company (fedmc) has observed itself. Allama Iqbal industry city was founded in January 2020 and the first stage of development work was completed before the end of 2021. In this economic zone, China’s more than 150 companies and investors have invested more than 1.5 billion dollars. In this regard, ten years tax rebate has also been given to investors by fedmc, due to which production has also been started by some industrial units in this economic zone. Chinese investors are investing on a priority basis in development projects across the country, including this economic zone. However, the ongoing political instability in Pakistan, the attacks on Chinese residents of extremists, the devaluation of Pakistani currency and the rising trade deficit are challenges that the state’s competent institutions need to work seriously to resolve.
Along with this, there is a dire need to follow China to end poverty in Pakistan as China has done a unique achievement in human history by saving 80 crore Chinese people from poverty in the period of 40 years. It is worth mentioning here that China got freedom from Pakistan after two years, at that time this country of one billion 40 crore population is the world’s second largest military and economic power. So if we also use Chinese support and follow his footsteps, we can not only get rid of poverty but also get rid of the real destination of industrial development. In this regard, it is pleased that China is cooperating with Pakistan for poverty reduction and in this regard the memorandum of understanding between the two countries has also been signed, hopefully Pakistan will benefit from China’s experiences to end poverty.
In this regard, Pakistan has signed a new agreement with China a few months ago, under which the second phase of the CPEC project has begun, and the project is of strategic importance for both countries, which is benefiting the people of both sides. Another framework agreement on industrial cooperation is to attract foreign investors directly, promote industrialization, develop economic zones, and implement projects in private and public sectors. China’s cooperation with Pakistan is touching new heights with Chinese investment in expansion of Pakistani infrastructure including Gwadar port under sea pack, while both countries are also benefiting from a free trade agreement.