How can Pakistan’s economy benefit from the Belt and Road Initiative?

The Belt and Road Initiative (BRI) is a development strategy adopted by the Chinese government involving infrastructure development and investments in 152 countries and international organizations in Europe, Asia, Middle East, Latin America and Africa. "Belt" refers to the overland routes for road and rail transportation, called "the Silk Road Economic Belt"; whereas "road" refers to the sea routes, or the 21st Century Maritime Silk Road.

It had been known as the One Belt One Road (OBOR) and the Silk Road Economic Belt and the 21st-century Maritime Silk Road Until 2016 the initiative was officially known in English as the One Belt and One Road initiative but the official name was changed as the Chinese government considered the emphasis on the word "one" as being prone to misinterpretation.

The Chinese government calls the initiative "a bid to enhance regional connectivity and embrace a brighter future". Some observers see it as a push for Chinese dominance in global affairs with a China-centered trading network.

Pakistan has signed a currency swap with china in 2014 year, which marks Pakistan the first South Asian nation to sign such type of agreement with China. China is the second largest trade partner of Pakistan and biggest investor in infrastructure, telecommunications, ports, energy sectors. Furthermore, Chinese government and private companies from China have guaranteed to spend US$20 billion in the energy sector and massive amount of above $30 billion in other sectors as a foreign direct investment in Pakistan, which will be supportive for promoting mutual trade between the two countries.

The recent development in Pak-China Corridor makes Pakistan the first transit hub for the world’s second largest economy among the South Asian countries. Nevertheless of political and military consequences of this major project, it has numerous benefits for the people of the constituency.

Pakistan, suffering from continuing energy lacks and narrow trade with its abrupt neighbours, will be better-linked and will all being well become energy- ample. A Pakistan- aligned road network will enable contacts among Pakistan’s neighbours on west and east. India and Iran requisite this corridor for closer incorporation with each other’s economy. Even though the CPEC simplifies movement of goods and services in the region, China’s contribution in the region’s economy turns rivals into stakeholders in preserving peace and stability in the South and Central Asian regions.