Pakistan has introduced an ambitious roadmap to accelerate Phase II of the China-Pakistan Economic Corridor (CPEC), focusing on high-tech industrialization, deeper provincial-level cooperation, and modernization of governance systems to achieve sustainable and inclusive growth.
According to the Ministry of Planning, Development and Special Initiatives (PD&SI), the new plan highlights targeted reforms, industrial modernization, and technology-driven growth designed to transform Pakistan into a competitive, knowledge-based economy.
A key milestone was also noted, 85 percent of the financing for the Karakoram Highway (KKH) Project has been committed by the Government of China, underscoring the growing strength of Pakistan-China strategic and economic relations.
Federal Minister for PD&SI, Prof. Ahsan Iqbal Chaudhary, announced that the bidding process for the Thakot–Raikot Motorway will commence within two months. He further shared that CPEC’s provincial-level cooperation will be expanded after discussions with Chinese provincial leaders, ensuring balanced development across regions.
Prof. Iqbal emphasized that CPEC Phase II will not only modernize physical infrastructure but also integrate emerging technologies, industrial innovation, and regional connectivity, marking a transition from infrastructure-led growth to sustainable economic expansion.
He declared 2026 as the “Year of Reform and Modernization,” reflecting the government’s commitment to align governance structures with 21st-century demands. The plan aims to reduce bureaucratic hurdles, promote a pro-business environment, and strengthen institutional efficiency.
The report also stressed human capital development, identifying youth and women as key drivers of progress in achieving long-term national growth and productivity under CPEC Phase II.
With a renewed focus on reform, innovation, and partnership with China, CPEC’s second phase is set to redefine Pakistan’s economic landscape and strengthen regional connectivity for a more resilient future.
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