The New Silk Road: A Case study of China-Pakistan Economic Corridor

In the global run, China wishes to become world's superpower by forming new trade and economic policy. This paper attempts to analyze one of the Chinese initiatives, OBOR, which is also known as the 'New Silk Route' with special case study of one of its major project CPEC i.e. China Pakistan Economic Corridor. This project of China (OBOR) is considered to be the project of the century, which includes creating infrastructure along the new trade routes, which will help for the easy and more efficient flow of commodities, people and ideas. OBOR will act as an umbrella project for many other sub projects. CPEC is considered as one of the important parts of the OBOR. China will spend US$46 billion on this project, which will be a turning point for the Pakistan’s unstable economy. Corridor will connect kashgar (China) with Gwadar (Pakistan) and will consist of many development projects like energy projects, infrastructure projects, rail and road networks. Paper also focuses on the current scenario of CPEC as with the change in the government in Pakistan, CPEC is facing much opposition and troubles, which are creating hindrance in the way of its completion. Along with this Pakistan is also facing many internal security challenges to CPEC. China has also stopped funding on CPEC which has forced Pakistan to seek help from IMF. Current situation is that situation that Pakistan has expressed his desire to bailout from CPEC and also cutting down its fund to reduce the financial burden. CPEC is also facing internal threats and along with this the growing concern of India is also putting Pakistan in a tough situation.