Study of China-Pakistan Economic Corridor: Status of Implementation and Future Prospects

Client: World Bank       

Duration: 2018-2019

Location: PRC and Pakistan

Contract Value: USD 61,000

Catalogue: Economic Development

Project Description

This technical assistance's main purpose was to produce a comprehensive review of the status of implementation of current projects and an analysis of future opportunities presented by China-Pakistan Economic Corridor (CPEC), and through the process also to enhance the counterparts’ capacity to foster informed policy dialogue related to CPEC between economic actors. The Study will serve to inform Pakistani, Chinese, and World Bank stakeholders about possible steps to maximize the potential economic benefits under CPEC, including by understanding and mitigating potential risks to the initiative. The Study, completed jointly by NAREE and our Pakistani partner CTC, served as the basis for policy recommendations to both governments on how to effectively maximize the benefits of CPEC.

Services Provided by NAREE

Review and Policy recommendations - NAREE provided background assessments of and policy recommendations on key aspects of CPEC to foster an inclusive and informed public dialogue. NAREE produced strategy notes on six topics: (i) stocktaking of current CPEC projects and their economic, social, and environmental impacts; (ii) assessment of hardware/infrastructure connectivity and the process of prioritizing future projects; (iii) identification of near-term trade and investment opportunities connecting the demand and supply sides; (iv) assessment of financial sustainability, debt management, and capacity building; (v) leveraging special economic zones and learning experiences from other countries; and (vi) assessment of microeconomic effects, including local job creation, skills development, and livelihood improvement in Pakistan.

Capacity building for better informed policy dialogue about CPEC, and fostering South-South knowledge exchange on regional connectivity and development opportunities - Together with CTC, NAREE fostered a constant and collaborative knowledge exchange between the government agencies (including think tanks) in China and Pakistan for informed policy dialogue on CPEC investments. We organized a series of knowledge exchange/learning activities for Chinese and Pakistani government officials/think tanks on potential infrastructure development opportunities and regional connectivity opportunities (using analytical studies, exposure tours, knowledge events).

Creation of a platform for private sector dialogue series to inform and influence a critical mass of influential actors at different levels of government and private sector from both participating countries – Together with CTC, NAREE convened private sector interactions in Pakistan and in China between business groups from the two countries.