Economic Challenges And Opportunities Of China Pakistan Economic Corridor For Pakistan

China and Pakistan have all weather friendship.The diligent ties of friendship are strengthened by mutual belief and sureness.Recently,ties have been further developed by China's tremendous financial commitment to framework infrastructure development ventures in Pakistan.As a major aspect of the new China-Pakistan Economic Corridor,which is associated with China's aggressive One Belt,One Road initiative.China and Pakistan,reported projects to make a financial and economic corridor called as the China-Pakistan Economic Corridor to unite Kashgar in China's Xinjiang Uygur District to Gwadar in Southwest of Pakistan.The two nations offer significantly more than a 520 kilometer border,as underscored by the April 2015 visit of Chinese President Xi Jinping to Pakistan.On that trip he reported a $46 billion commitment to constructing a multi-faceted system of road and railways network.In the form of China Pakistan Economic corridor,Pakistan will gain new assets like infrastructure and energy resources.This study endeavors to investigate the challenges and opportunities associated with economic development of Pakistan in the course of recent years.CPEC will bring opportunities like better transportation and infrastructure system,improved service sector and development of Gwadar port to Pakistan.Challenges like trade imbalance,decrease of Pakistan's export,industries not able to work on full capacity,bad governance,corruption and foreign influence in Pakistan adds to challenges in both trade relations and implementation issues.Particularly,in the context of the China Pakistan Economic Corridor,imbalance of trade is the worst economic issue.This situation can be mitigated if Pakistan implements comparative advantage theory and start to manufacture products domestically at a lower cost.With the benefits of the project,all the challenges should be taken in consideration in order to obtain fruitful results from the economic corridor.To be successful,economic development must function as a part of the whole socioeconomic environment which is not static and is evolving in the globalized world.China Pakistan economic corridor is an exceptionally aggressive project by the two nations that will prompt more noteworthy speculation and fast industrialization of Pakistan.Successful completion of China Pakistan economic corridor can possibly adjust Pakistan's geopolitics and economy.