China has already invested more than $19 billion in China Pakistan Economic Corridor Project (CPEC). CPEC is expected to bring a total of $62 billion in Chinese investments to Pakistan over the next 15 years. CPEC projects include building transportation networks, special economic zones and power plants to help Islamabad improve its manufacturing capacity and overcome energy shortages. Contrary to the popular belief, China has welcomed Saudi Arabia’s plans to invest in CPEC Projects with Pakistan dispelling skepticism Islamabad was risking Beijing’s outrage by inviting a third party to a strictly bilateral deal.
The flagship enterprise of President Xi Jinping’s global Belt and Road Initiative (BRI), CPEC has already created more than 70000 jobs in Pakistan.
According to Chinese Foreign Ministry spokesman Lu Kang:
“If any other party would like to contribute positive factors to promote the interconnectivity and prosperity of the region on the basis of consultation, I think this is a positive factor.”
Saudi Arabia, in principle, has agreed to a multibillion dollar investment into an oil refinery complex in Gwadar. Gwadar port serves as the centerpiece of the project in CPEC as it is regarded as the gateway to CPEC.
A framework of regional connectivity, CPEC is expected to be beneficial for not only both China and Pakistan, but is expected to have a positive impact on Iran, Afghanistan, India, Central Asian Republic and the region. The projects include enhancement of geographical linkages having improved road, rail and air transportation system with frequent and free exchanges of growth and people to people contact, enhancing understanding through academic, cultural and regional knowledge and culture, activity of higher volume of flow of trade and businesses, producing and moving energy to have more optimal businesses and enhancement of co-operation by win-win model will result in well connected, integrated region of shared destiny, harmony and development.