What Pakistani Foreign Minister Says about Construction of CPECadmin
Foreign Minister of Pakistan Shah Mehmood Qureshi affirmed an interview about Construction of CPEC with the Business Times Singapore, It was announced on National Day of Pakistan on March 23. As a flagship plan of “Belt and Road” action, the CPEC Investment (China Pakistan Economic Corridor) is of significant importance to the strategic transformation of Pakistan.
Ku said that the China-Pakistan Economic Corridor’s local business development and connectivity would stimulate the entire sector to accomplish overall financial growth. Motivated by the corridor, Pakistan’s economic infrastructure and transportation network are being modernized. The Karakoram Highway Phase II and the sections of the Peshawar-Karachi Highway have been renovated and opened to traffic. Pakistan is cooperating with China to upgrade the 1,687-kilometer Peshawar-Karachi railway route. The two countries will strengthen the interconnection and trade links between Pakistan and China through roads, railways, optical cables, energy pipelines, and power station projects and bring prosperity to the region.
Ku said that in the past seven years, the energy projects of the China-Pakistan Economic Corridor have directly created 26,795 jobs, which has significantly promoted the development of the local power industry. In addition, the infrastructure projects in the corridor have created nearly 50,000 jobs. This proves that the contribution of the CPEC to Pakistan’s economic development is real and substantial.
Ku said that Pakistan is developing Gwadar Port with Construction of CPEC projects into an energy, trade, and logistics center. Gwadar Port can significantly reduce logistics costs. Furthermore, serving as a hub for regional business activities can also provide a channel for goods to be transported to Central Asia, Afghanistan, and Western China. The establishment of the Gwadar Free Zone makes Gwadar an ideal investment place and has attracted many investors. Enterprises in the bonded area will enjoy 20 years of tax incentives.
Ku said that despite the outbreak of the new crown pneumonia, the China-Pakistan Economic Corridor project is being completed quickly. Both parties have signed an agreement that under the relevant standard operating procedures, the work of the China-Pakistan Economic Corridor will not be interrupted. Pakistan believes that after the Covid-19, the “Belt and Road” and the China-Pakistan Economic Corridor will become the center of economic and trade activities in the region.
Ku believes that the China-Pakistan Economic Corridor is currently in the second stage, focusing on industrialization, socio-economic development, agriculture, and technological progress. Both Pakistan and China are committed to turning it into a high-quality demonstration project of the “Belt and Road” initiative. Soon, manufacturing, agriculture, industry, logistics, and IT industries will benefit the most. It is believed that within 5 to 10 years, the Construction of CPEC will greatly increase Pakistan’s GDP, improve and modernize its infrastructure, and help Pakistan maximize its true potential.
Ku said that Pakistan is strongly encouraging other countries(Saudi Arab, UAE, etc.) to invest in the China-Pakistan Economic Corridor. He invited investors to take advantage of Pakistan’s free investment environment to obtain economic dividends from the CPEC, especially the special economic zones. Many special economic zones in the China-Pakistan Economic Corridor provide property investment Gwadar incentives, such as tax exemption, 100% repatriation of profits, and tax exemption for imports of production materials.