CPEC Research Project

CPEC
2017
Group#3
1- Mujahid saleem
2- Husnain Iqbal
3- Jahanzaib Abdullah
4- Muhammad Rizwan
5- Hafiz Muhammad Amir
China Pakistan Economic
Corridor (CPEC)

CPEC
Table of Contents
1- Absract
2-Aknowledgement
3- Methodology
4- Forewords
5- Human History of Economy
6- Introduction to CPEC
7- Historical Background of Gwadar Port
8- Pakistan’s Geopolitical Position
9- Reasons for making of CPEC
10- Route of CPEC
11- Infrastructures and Developments
12- Effects of CPEC on Pakistan’s Economy
13- Reservations
14-Recommandations

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Abstract
China Pakistan Economic Corridor (CPEC) is the biggest
economic project of the world till 21st
century. Creating
project like this have remained the dream of many super
powers like Russia in past but now China have great
opportunity to avail. This not mere an economic project
rather it is going to be a game changer as it is referred by
many analysts and experts the same. As it is said by one
of China’s top university, Renmin University Beijing head
Dr.Wan Yiwei to giving answers to Pakistani journalists
that
“Yes, China is striving for the new world order,” he said,
adding that China as a world leader would be different
from other superpowers, including the United States.
So, this project will be new world order knitting many
countries together sharing and cooperating with each
other and will also help china to emerge as new super
power of this century due to which many countries are in
worry specially United States of America (USA). China
Pakistan Economic Corridor is the part of China’s major

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plan of Silk Road or now oftenly known as project of One
Belt One Road (OBOR) which will be the world’s largest
motorway which will connect china to Middle East,
Europe, Russia, and Spain. CPEC will give China an
alternative passage way for the transportation of raw
material for industrial production and will also increase
its influence on Strait of Harmuz, Arabian Sea, Indian
Ocean (Hind Maha Saghar) and can control economy of
world as one-third oil of world passes through Strait of
Harmuz. China Pakistan Economic Corridor will boast
Pakistan’s economy and will terminate poverty, illiteracy,
terrorism, and unemployment from all of the country
especially from provinces like Baluchistan, Federally
Administrated Tribal Area (FATA) and Gilgit Baltistan.
Through this project many infrastructures will develop in
country in power generation and educational sectors
which automatically will put Pakistan on the way of
progress. After this project Pakistan will emerge with a
new status and authority in the world for the further new
world setups and decisions Pakistan will play important
role. This project is equally beneficial for both countries

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China and Pakistan it is their despite need which is going
to be materialized through each other’s help.
Acknowledgement
Iam feeling much of gratitude on completion of this
project and much thankful to Allah Almightyevery
knowledge is attributed to His Highness, who is source of
knowledge. This is my first project of its kind throughout
my academic career. It taught me a lot, how to research
on a topic? How to collect data and drive useful
information from it? How to arrange data according your
topic? How to make questions and horizons on which
you can research? These and many more new things
which I have learned from this project. It enhanced my
knowledge of current affairs on this very important topic
and political scenario in this region and in whole world
which would be helpful for me in understanding future
progress and hue and cry in the battlefield of world
politics. It widens my overlook on economics and politics
so, iam very thankful to my gentle and nice teacher Sir.
Waqas Ilyas who assigned me this experience and
knowledge increasing project may Allah live him long and

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bestow him every blessing in his treasure (Ameen). Iam
also very thankful to my research fellows Husnain Iqbal,
Jahanzaib Abdullah, Hafiz MuhammadAmir, and
MuhammadRizwan who worked very hard in gathering
data and publication of project material in hard form.
They all burnt mid night oil in the completion of this
project and all were much conscious about this project
about the last days of submission. Iam also thankful to
my elder brothers Asif Saleem, Saeed Saleem and also
very thankful to Prof. Tahir Amin who taught me how to
write and guided me continuously in the completion of
this project. As far as data is concerned it was of
information type including graphs, tables, facts and
figures that’s why I mostly relied on data provided by
officials, Internet and newspapers. In this regard iam
thankful to Mr.Shakeel Ahmed Ramay who is head of
Center for Future Policy (CFP). He gave a policy brief on
CPEC published by Sustainable Development Policy
Institute (SDPI) I majorly relied upon information
provided by him. Iam also thankful to Dr. Abu Waqas
who is defense analyst his presentations and writings
have been a great source of information in the regard of

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this project. Iam also thankful to Wikipedia and
Encyclopedia. Iam also thankful to various newspapers
for being the source of information for me like Express
Tribune, Pakistan Times, Dawn, The News, and Hindustan
Times. I also gained information and used as references
some of news clips which have been taken from various
TV channels like Neo news of Pakistan, Duniya News of
Pakistan and Zee news of India. Pictures regarding CPEC,
maps and graphs have been taken from internet which
has uploaded by officials. I again thanks to all who helped
out me in this project.

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Methodology
As this project is a kind of analytical piece so, my
attitude in the research of this project remained in
accord with the relativity of project. I firstly define the
aspects and horizons of research upon which I could
make research more effectively and more meaningfully.
For this purpose I opted to the analytical method. I
simply gathered the data about CPEC it’s route, it’s
benefits to Pakistan and China, developments through it,
effects of this economic project on world order, India’s
outlook over all the happenings after having all the
required data from various sources like books, Internet,
newspapers and TV channel’s documentaries. I mainly
have to stick to these sources to acquire information
because in such projects one has to confine to only a
limited sources of Information. After data collection I
made its fragments to provide and examine the
information about CPEC and divided the whole discourse
of study into different chapters encompassing various
aspects of this project. Then I selected that information
which could be more helpful in the respective chapters

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that I have established in order to study China Pakistan
Economic Corridor (CPEC). After having these procedures
I put useful information in respective chapters in this way
I studied the whole possible general aspects of this
project. After I used the analytical method to analyze the
information and derived the certain conclusions.
Throughout the whole study my way of research
remained totally informative and analytical.

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Forewords
In the name of Allah who is beneficent and merciful. Iam
presenting my research work on the topic of China
Pakistan Economic Corridor (CPEC). Doing research on
any topic is not an easy deal it always require a great
extent of concentration and hard work but human being
is the embodiment of mistakes so at any place if you
found any error so take it as natural limitation which is
associated with every writer and researcher. If any of
reader found any error in the facts and figures and even
in the conclusions kindly inform me he will be welcomed
and I will be very thankful to him. As I have to mainly rely
upon secondary data provided by various sources so
presence of any error is quiet natural. China Pakistan
Economic Corridor is the need of hour for both countries.
As far as Pakistan is concerned it is very tough time for
Pakistan. There are various challenges faced by Pakistan
now a day like poverty, terrorism, political instability etc.
At this epoch of its history Pakistan needs boast to its
economy from any external source this economic project
is providing Pakistan a chance to stand the row of

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developed nations. Such enormous chances seldom
comes in the history of nations, for many of them it is
mere a dream but in the case of Pakistan there is a full
opportunity for this dream to come true. I think that it is
the special blessing of Allah Almighty that He bestowed
Pakistan all essential requirements that is necessary for a
nation to exist. Despite of lack of technology and
resources we succeeded in making Atomic bomb every
analyst was bewildered at that times. Now comes to geo-
political importance even from this angle Pakistan have
been a lucky country presence of Himalaya, 2nd
highest
and longest mountain ranges, two natural and deep
ports, passage of Arabian sea makes its geographically
much important. I further want two put two more things
to enlighten the good fortune of Pakistan. First Pakistani
Tribal area fighters and army attacked on Indian
occupied Kashmir in 1948 and liberated half of Kashmir
from Indian capture which is currently known as Azad
JammuKashmir (AJK) of which Gilgit Baltistan is a part
from where route of China Pakistan Economic Corridor
(CPEC) will pass. Imagine for a while if our fighters would
never had proceeded for Kashmir liberation this area
would have in the occupation of India ultimately project

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of CPEC would have become impossible so, I think that
Pakistan have been very lucky. When they were doing so
this thing might not have been even in their
Unconsciousness that our action will bear such fruits. As
it is the stanza of a poet
“Those Lands which are irrigated by the blood of martyrs
produces more greenery and charming”
Another is “Blood of martyrs will bear color one day”
Second one in 2006 Pakistan put a petition in
International Court of Justice (ICJ) regarding to increase
in the area of its water territory after examining the
whole situation they gave judgment in the right of
Pakistan and they accepted the claim of Pakistan to
increase in ocean territory. As a result of this claim
Pakistan’s ocean territory increased by 50000sqmwhich
now totally makes 250000sqm. Pakistanis included in
few countries whose water territory has increased. Due
to this increase many ships can be anchored in sea at a
time making more trade possible through Gawadar port
ultimately the giant project of CPEC making possible in
which thousands of trade ships will make in and out

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every day. Besides trade through the territory this area is
also full of minerals which will now in Pakistan’s
ownership so, this is another gift of nature for Pakistan.
DunyaNewsPakista-Download-From-YTPak.com.mp4
Due to these circumstances it is evident that Pakistan is
under the special blessings of Almightywhich means that
this country is made for special purpose so we should
ponder over and understand that purpose which is
assigned to us our prestige as a nation is hidden in this.
As far as economic progress and development is
concerned we will not lag behind and iam sure one day
all the problems of this country will be countered only
condition to making head to that way is to mend our
ways and behavior and to work hard a bright future is
waiting for us.

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Human History of Economy
When first human being came into being before his
arrival this earth planet was already inhibited by many
species of animals, plants and micro-organisms. Homo
Sapiens have been given with some of instincts one of
the basic human instinct is hunger. From the day one he
started to devise ways and means to satisfy this pressure
instinct. Its means differ in various cultures and epoch of
human history. Early human beings were not much of
civilized they used live in caves a nomadic life they earn
their livelihood by growing corps of their food and daily
use by their own after it was the time when there was no
concept of cash money. After gradual evolution human
beings started making societies cooperating with each
other more sociologically. This was because of
experience they after having various experiments they
came to know that without society and each other’s
cooperation their survival on this planet will become
impossible this is how formation of human society began
but at that time economic consciousness of human
beings was not so developed and their society was also

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not so much civilized as it is today. There was no concept
of State in them gradually to secure their benefits and to
remove conflicts ordered tribes came into being with a
prominent leader. Leader of tribe was responsible for the
decisions of conflicts within the tribe and with other
neighboring tribes. These developments were made even
in, which is referred as “Stone age”. After this another
progress in human society was made active
communication and trade between different societies
started. Different societies also developed their own
civilizations. Human beings also learned to mold metals
in different accessories like tools, swords, spear, knife
etc. Due to transportation and interaction between
different societies conflict on benefits them arose
between them and to gain more benefits and to secure
their own they started attacking and invading opponents.
As a result a specific tribe or family captured a specific
area of land to administrate such big lands proper armies
and kingship form of government was established in
order to make societies in discipline and to administrate
them more easily. This generally referred as “Bronze
age”. It is the time when human being learned the theory
of gathering more than their requirement and

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satisfaction of basic instinct. They also learned to rule
over other fellow beings it was actually the manifestation
of their instinct which is to overwhelm the others. Basic
instinct of hunger now turned into luxury and gathering
of more resources. Next age is the further continuation
of these developments made in this age. In the next age
which generally referred as “Modern age or scientific
age” human intellect grown up and they liberate them
from Catholic missionary and independently examine the
things from a scientific outlook and refined the things
and a complete intellectual movement “Renaissance of
Knowledge” started from 14th
-17th
century in west. At
that time “Feudalism was prevailing the west and rest of
the world this system exploited people economically a
lot. People decided to get rid of this system and a
movement of full strength was launched against it first in
west then gradually in the rest of world after a great
struggle a big revolution came in France and feudalism
was thrown out. At the same time scientific progress was
on its peak new technology was discovered which helped
to improve the method of production. Due to these
circumstances “Industrial Revolution” made its way in

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west then eventually in the whole world. Now a
complete and much organized concept of “Welfare
State” was adopted. Rossouwgave the idea of
democracy which gave the right to caste vote even to an
ordinary laborer this reduces exploitation of people by
rulers. But after sometimes industry owners started
exploiting workers they used to give them few pennies in
the name of stipends and taking work from them for
several hours. Karl Marx totally rejected the idea of
personal property and gave another complete
philosophy centralizing the concept of economy his idea
is known as Communism or Socialism. On the basis of his
idea communist revolution came in many countries of
the world like China, and Russia but this was not proven
long lasting and soon democratic capitalism prevailed the
world even in the countries having communistsetup and
this system is running in the world today. As industrial
revolution prevailed production increases to have more
production raw material was required in order to gain
raw material and fuel some countries started importing it
from other neighboring countries but when they felt that
due to expenditure on import they have spent a huge
amount of capita on it as a result production cost rises

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and they found difficulty in competing production
industries of other countries they thought to invade that
country so that they don’t have to spent on raw material
and fuel this gave rise to colonization when super powers
of the world made different countries their colony. Due
to these reasons two giant wars world war-1 (1914-1918)
and world war-2 (1939-1945)were fought between
different countries of the world and millions of people
were killed in these wars. After world war-2 political
leaders of world started to think to avoid any such big
war in future and they laid down the foundations of
United Nations Organization (UNO). After this attempt it
become difficult to directly attack on any country that’s
why another warfare strategic or cold war initiated in
which different super powers of the world wanted to
capture reserves of the world and they started strategic
warfare Russia in order to have access to warm waters
and minerals of this area attacked on Afghanistan but
defeated then America played it’s stroke to captivate the
oil reserves of middle east in this way big world order
formed. This is the short account of human history of
economy which is closely related to politics.

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Introduction to CPEC
It is very general slogan in the context of Pakistan China
friendship
“Our friendship is higher than the mountains of
Karakorum, sweeter than honey and stronger than
steel”.
These ties between the two countries were founded in
1950 very early after the independence of China in 1949.
First decade of this friendship was not so good even
Pakistan was reluctant to accept India due to their
communist setup this relationship gained much of energy
in 1960 when India stopped Pakistan’s supply of coal and
Pakistan’s trains and industry stopped then China
provided Pakistan with coal and a new era of friendship
began between two countries they started barter trade

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of coal and cotton. This friendship also gained fuel during
Zulfiqar Ali Bhutto’s regime. Pakistan also supported for
the permanent seat of china in UNO. China Supported
Pakistan in formation of arms, nuclear project, missiles
and recently F-16 and gifted submarines and thunder F-
17. Now China is going to initiate a megaproject in
Pakistan CPEC. China started preparing for this project
since Gen.Pervaiz Musharraf’s regime and properly
started developing Gawadar port in President Asif Ali
Zardari’s era. On 20 May 2015 in his visit to Pakistan
Chinese President Mr. Xi Jinping singed 51
memorandums with present Prime Minister Mr.
MuhammadNawaz Sharif and largest economic project
of history begun. China Pakistan Economic Corridor
(CPEC).
WHAT IS CPEC?
China Pakistan Economic Corridor (CPEC) is an ongoing
development mega project which will connect Gawadar
port in Southwestern Pakistan to northwestern region of
china Xinjiang via a network of Highways, railways and
Pipelines to transport Oil, gas, other raw materials and

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production goods from and towards Middle East, Africa,
and Europe.
CPEC will consist of about 3150kms of network of
motorway, railway, and optic fiber. It will connect
Gawadar port to western Chinese province. Oil, gas and
other raw materials from Middle East countries like Saudi
Arabia, Iran, Iraq and Turkmenistan etc will take at
Gawadar port from where it will be dispatched towards
China where it would be used in production of goods.
This process will reduce the distance of 10000kmsto only
3000kms and this process will reduce the journey of
45days to 7days and expense will also save 6million
dollars daily and 2billion dollars annually. Low production
cost will enable China to compete with other countries
like Japan and USA. Pakistan will also get benefits from
this project it will get revenue of using its port and water
territory and will also get toll tax for each passage of
truck. Along the motorway and Gawadar port a free
economic zone will be constructed where foreign
businessmenwill invest and install industry as a result in
a huge amount of employment will generate and
ultimately unemployment in Pakistan will also eradicate.

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Historical Background of
Gwadar Port
Baluchistan is the largest province of Pakistan regarding
area covering about half of the area of the country 43%
of area and only 5% of population. Gawadar is a small
city of Baluchistan. It is a natural port, Pakistan’s 2nd
port
after Port Qasim. It is a deep port of 54fts which is very
appropriate port for trade all-round the year because it is
deep and warm water port. Gawadar is situated in the
south of Pakistan. Gwadar is Balochi word Gawa means
wind and Dar means gateway so its mean is “wind
gateway”. For a long period of time it was ruled by local
tribal leaders then it was ruled by Oman. In 1783 the
khan of Kalat Mir Noori Naseer Khan Baloch granted
suzerainty over Gawadar to Taimur Sultan, the defeated
ruler of Masqat. In the middle of 18th
century Mir Noori
Naseer Khan Balouch captured Gawadar and its
surrounding areas after defeating Gichki Balouch tribe
and included it in Kalat Khanate. Due to facing problems
in administration he handed over the control of Gawadar

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to local tribal leaders. Afterwards the control of Gawadar
was given to Saiad Sultan who was ruler of Muscat. Due
to conflicts between the heirs of Mir Noori Baloch
regarding Gawadar this situation allowed British to
intervene. It remained headquarters of British Assistant
Political Agent from 1863 to 1879. Till 1950s it was
governed by sultan before negotiations with Pakistan
government. On 8 September 1958 Pakistan purchased
Gawadar enclave from Oman for 5.5billion rupees much
of this price was paid by Prince Karim Ali Agha Khan while
remainder was paid through tax revenue. In 1956
Makran acceded to Pakistan and was made district. In
1958 when Gawadar was purchased by Pakistan and it
was given the status of tehsil of district Makran. On 1 July
1977 Makran was upgraded to division level and
Gawadar was made one of its districts. In 1993
government decided to develop Gawadar into a major
port city with a deep sea port and connect it with
Pakistan’s highway and rail network. On March 2002, the
government of Pakistan began construction of Gawadar
port into modern sea port whose phase1 completed in
March 2007. Gawadar port was inaugurated on 20 March
2007.

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Pakistan’s Geo-Political Position
Geo-political position of Pakistan is very important from
strategic point of view and from economic point of view.
It has 2nd
largest mountain ranges which are enriched
with several minerals like iron, bronze, silver, platinum,
gold, uranium etc. It has highly fertilized agricultural land.
It has four seasons as well as two deep and natural ports
(port Qasim and port Gawadar). On one side of Pakistan
is Karakoram mountain ranges and on the other side of
country is Arabian Sea which increases its importance
many times. Secondly Pakistan is situated in South Asia
where most of the population of the world used to
inhibit. Thirdly Pakistan shares it’s neighboring on one
side to emerging economic super power China and India
on the side to Middle Eastern countries like Saudi Arabia,
Iran, UAE, Iraq which are very rich in minerals like Oil, gas
etc. Due to these geo-political reasons enormous
economic project CPEC becomes possible in Pakistan.
Due to these circumstances import of oil and gas
becomes cheaper in Pakistan and export of produced
goods is easy due to area of more human population.

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Reasons for making CPEC
China is a country of 1.38 billion populations which is
largest population of an individual country in the world.
To give employment and livelihood to such a big mass is
not an easy task to meet this challenge China has
established small units of industry that’s why China has
become largest production industry in the world. It has
made China largest market. To run such a big industrial
units China require a huge amount of oil its oil
requirement is about 10million barrel out of which
4million barrel is its own and 6million barrel of oil has to
be import from Middle East countries like Saudi Arabia,
Iran, Iraq etc. After America China has become the
largest importer of oil. Goods after the production is
dispatched through the port for Asia, Africa and Europe
this is the reason that Shanghai is the largest port of the
world and out of top ten ports seven ports are in China.
Now China had to spend a lot of money in importing of
oil from Middle East Countries and it is very time taking
procedure it takes about 45days. Ships from Middle East
travel to China by passing from Strait of Hormuz then

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Arabian Sea then Indian Ocean then Strait of Malacca
afterwards it reaches to South China Sea then to Hong
Kong and then finally reaches to China’s Quanzhou port
in Shanghai. It takes 45days to reach and China has to
consume 3million dollars on each journey as a result cost
of production is increasing and it is becoming difficult for
China to compete with other countries. After the CPEC
project China will find a shortcut way for the
transportation of raw material from Middle East
countries more than 10000kms distance will reduce to
less than 3000kms and China will save 2billion dollars
annually. China will also construct a pipeline from
Gawadar to its western province which will further
reduce the travelling oil through pipeline will be taken
out in China through suction. China will also establish its
industry in free trade zone which also reduce the
production cost.
Second reason behind the making of CPEC is that at
present most of Chinese trade depends upon South
Chinese Sea as I have wrote that route in above lines but
there are certain problems with this route at Strait of
Malacca there are different islands and its boundary

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touches to many countries like Malaysia, Indonesia,
Vietnam, Philippines and Taiwan.
Between these countries is situated South China Sea
that’s why there may calamities of this sea and every
country want to capture this sea because whoever
control the South China Sea will control the trade of this
region this is the same way from where South Korea and
Japan used to trade. There is also much influence of
America on South China Sea that’s why China wants to

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develop an alternative way of transport independent
from American influence and away from disputes.
Thirdly mostof china’s population used to live in Eastern
provinces 94% is living in these provinces while western
provinces are with low population concentration like
Baluchistan of Pakistan. Only 6% of population used to
live in western provinces. These provinces are less
developed and most of people of these provinces are
facing poverty. One important point is China also wants
to secure its western border because movement of army
from eastern to western provinces will take many days
that’s why China is developing its western provinces in
order to eradicate poverty, develop infrastructure, and
to make defense of these provinces more effective. Most
of the Chinese industry is present in eastern provinces
now but after CPEC project’s completion raw material
will reach to the western provinces and China will
establish its industry to western province to save its
expenditures of transport from western part to eastern
part in this western part of China will also progress.

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Route of CPEC
There has been debate over route of CPEC. There were
three routes 1. Western route 2. Central route 3. Eastern
route it was tough to decide any of route then after
survey western route was found much appropriate
because in less of people have displace, less agricultural
land have to damage and this area needs more
development. A survey paper was prepared for
Baluchistan’s chief minister
Central
Route
Eastern
Route
Western
Route
Average
population
Density
156 264 98
Total Land
under
Cultivation
5829 10332 2933
Production
of Four
Major
Crops
13754 30928 7430
Source: Dr.Qaiser Bengali paper for chief minister of Baluchistan.
Due to these reasons western route is adopted by
government. This route follows as from China’s western
province area Kashghar to enter in Pakistan’s area Gilgit
Baltistan which will go to capital of Pakistan Islamabad.

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From Islamabadthis route will break into two pathways
one will directly go to Quetta and then to Gawadar
second route will proceed towards Lahore to Hyderabad
then to Karachi and finally to Gawadar.

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Infrastructures and
Developments
CPEC project in Pakistan will bring much of prosperity
and development. 51 memorandums were signed by
Chinese and Pakistani President and prime minister.
Development projects may be divided into different
categories.
1. Energy:China will invest 33.8billion dollars in
energy sector from which various projects will be
initiated. 1- Zonergy solar power plant which is located at
Bahawalpur is being constructed with the expenditure of
1.5billion dollars and it will produce 900MV. 2- Karot
hydro power plant is also being constructed with the
expenditure of 1.65billion dollars. It will produce
720MW. 3- Another project Suki Kinari Hydro power
plant is also being constructed in KPK which will produce
870MW. 4- Port Qasim – Coal Fired power plant is also
under construction by the expenditure of $2.85billion
and this project will produce 1320MW5- Thatta wind
project is also under construction which will give 100MW

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6- Sachal wind project will produce 50MW. 7- Hydro
China project will also produce 50MW
2- Transport Infrastructure:
Transport Infrastructure will be developed by the
expense of $11.8billions. Which include network of
motorway, airport and improvement of railway.
1- Lahore-Karachi Motorway: A 6-lane 1152kms long
Karachi-Lahore motorway is going to construct by
$6.6billions
2- Karakoram Highway Realignment: A 24km long bypass
is made at Karakorum highway. 5km tunnel is also made
as well as 2 large and 78 smallbridges are made by
$275millions.
3-Gawadar-Ratodero Motorway: it is 892kms long
motorway of which 556kms have already been
constructed. Its expense is $238millions
4- Hauling of Railway: By $3.65billions hauling and
reconstruction of railway will be brought about which
includes addition of new locomotives which will travel
with the speed of 160km/h. $5billion will be given for

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further improvements in railway from which 21 railway
stations will be upgraded. 250 new passenger and 180
carriage coaches will be bought by this.
Other Projects involved Gawadar International Airport
and Gawadar city and port.
3- Communication: China will invest
$44millions in the sector of communication by
developing a network of Optic fiber.

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4- Other projects:other projects include
1- Chin-Pakistan joint cotton Biotech Laboratory
2- China-Pakistan joint Marine Research Center
3- Gawadar-Nawabshah LNG Terminal and Pipeline
Project
4- Lahore Orange Train Metro
5- Rawalpindi-IslamabadMetro Bus

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Effects of CPEC on Pakistan’s
Economy
China Pakistan Economic Corridor (CPEC) is very
important for Pakistan it will have good effects on
Pakistan’s economy. Pakistan will get a huge amount of
revenue from Gawadar port for each ship passing in and
out this region. Pakistan will also get revenue in the form
of toll tax from each truck passing through above
mentioned motorways. This will gave Pakistan 5billion
dollars every year this will boast Pakistan’s economy.
CPEC will also provide a huge amount of employment to
the under developed areas of Pakistan like Baluchistan
etc. China will also establish many schools in these under
developed areas this will ultimately increase the literacy
rate. Most special is free trade zone where there will be
no tax on establishing industry as a result industrialists
from all over the world will come here due to low
production cost and exemption from tax this will
generate employments. At first phase Pakistan has
received 10000 applications of investors from all over the
world including America, Japan, South Korea, France and

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Russiaetc. According to institute of development and
planning at first phase about 1000000employments will
generate. When people will get employment crime rate
and terrorism will ultimately perish. China is also working
on many power projects due to which energy shortfall of
Pakistan will be finished as a result our domestic industry
which is facing severe problem of energy shortfall will
flourish as a result our Growth Domestic Production
(GDP) will increase approximately by 2.5 points and
Pakistan’s economy will become more stable.

CPEC
Reservations
Some national and Internationals are showing their
concerns over this project. They are of the view that we
should be much careful in this project because same
thing have happened with us in past when British came
for trade in India but finding the instability of Mughals
they invaded this land and captured all the reserves of
Indian they are alarming that we should be much aware
to the conditions that whether it is not an East India type
of Company. Some reservations are produced by India
which is against this project because this will end India’s
trade who is willing to make a Port on Chahbhar only
72km away from Gawadar but only having depth of
11mtrs this project is sabotaging the interests of India
that’s why it is try to create misconceptions about it.
Some reservations are of Provinces regarding their part
in this project and route of this project which can be
removed by negotiations in Mutual Interest Council.

CPEC
Recommendations
First and foremost thing regarding this project which
should be kept in view every time is security issues which
is posed due to terrorism so, to terrorism must be
controlled more effectively for the success of this
project. Second thing our law and Order situation also be
taken in control as well as corruption must be controlled.
Third thing is that there is threat for local industrialist of
exploitation so such commodities must be controlled
which are harmful for the domestic industry.
Fourth Chinese language learning centers must be
opened even at Intermediate College and Vocational
Center to remove communication gaps between
Pakistani and Chinese.

CPEC
References
1- Amraniyat
2- Dr. Abu Waqas presentation on CPEC
3-Duniya News
4- Dawn News
5- Express Tribune
6- Encyclopedia
7- Kuliyat e Iqbal
8- Kuliyat e Jameel
9- Neo News
10- Pakistan Times
11- Story of Civilization by Will Durant
12- CPEC a Policy Brief by Shakeel Ahmed Ramey
13- The News
14- Wikipedia
15- Zee News

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