The China-Pakistan Economic Corridor: Gateway to Central Asia

Abstract

The China-Pakistan Economic Corridor (CPEC) is a flagship project under the Belt and Road Initiative (BRI); and its launch in 2015 was regarded as a landmark event in the history of the Sino-Pakistani relationship. With a budget amounting to over $62 billion, it has become the foremost regional integration initiative between China and Pakistan. The project is also open to all interested regional stakeholders, among which Central Asia is one of the most important in geopolitical terms. Located in a landlocked but resource-rich region, Central Asian countries need better access to regional markets including Pakistan, China, India, and the countries of West Asia. Pakistan and China have huge energy demands that can be satisfied by growing trade with Central Asia. Thus, the CPEC will not only benefit Pakistan and China, but it also presents a strategic opportunity for Turkmenistan, Uzbekistan, Kyrgyzstan, Kazakhstan, and Tajikistan to transport their goods more easily and gain competitiveness in regional and global markets.