PAKISTAN’S ECONOMIC RELATIONS WITH CHINA (2015-2023): CHALLENGES, OPPORTUNITIES AND POLICY LESSONS
DOI:
https://doi.org/10.55733/jpcs.v5i1.82Keywords:
China-Pakistan relations, CPEC, bilateral trade, challenges, opportunities, policy lessonsAbstract
Pakistan’s economic relationship with China is a cardinal manifestation of the bilateral ties. The mutually beneficial economic engagement has a long history and continues to grow consistently. Presently, Chinese investment under China-Pakistan Economic Corridor (CPEC) and bilateral trade ties are the prominent features of Pakistan-China economic relationship. CPEC has gained international attention while Free Trade Agreement is an important development in their economic relations. However, Pakistan remains unable to realize the full potential of investment under CPEC and trade ties with China. CPEC promises infrastructure development, industrialization and increased production but its development faces slow pace and governance challenges. Trade surplus remains heavily tilted in favour of China. This paper identifies challenges and opportunities for Pakistan in the context of its economic relations with China. In the light of these challenges and opportunities, the study also proposes policy lessons for Pakistan to establish an advantageous economic relationship with China.
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