Islamabad, Pakistan – September 4, 2024 – Pakistani and Chinese firms signed 21 Memoranda of Understanding (MoUs) as Prime Minister Shehbaz Sharif and Chinese leadership reaffirmed commitment to the next phase of the China-Pakistan Economic Corridor (CPEC), CPEC 2.0. The agreements were witnessed by Prime Minister Sharif and Planning Minister Ahsan Iqbal.
Speaking at the event, Prime Minister Sharif described CPEC 2.0 as a “win-win” equation, outlining Business-to-Business investment, agriculture, trade, IT, mines and minerals, and the establishment of Special Economic Zones (SEZs) as key pillars of the initiative’s second phase. He emphasized pakistan’s potential to meet china’s labor needs, suggesting a shift of industries like textiles and leather to Pakistan, and the potential for Pakistani production for the Chinese market.”This is the total crux of CPEC-2.0,” he stated, adding, “if our economy strengthens, everything will fall into place.”
Prime Minister Sharif underscored his dual role, stating, “I am here speaking to you first as the chief executive officer of Pakistan and then as the prime minister.” He expressed gratitude to China and President Xi for their economic support, crediting it with stabilizing Pakistan’s economy. He noted positive macro indicators and attributed recent progress to President Xi’s “commitment towards pakistan,” asserting Pakistan is “now ready to compete with other countries in this race of economic growth” with Chinese cooperation.
The reaffirmation of commitment followed a meeting between Prime minister Sharif and President Xi at the sidelines of the Shanghai Cooperation Organisation (SCO) summit on tuesday, where they pledged to strengthen their “iron-clad and all-weather strategic cooperative partnership.” President Xi pledged support for Pakistan’s development capacity, readiness to build CPEC 2.0, upgrade the China-Pakistan Free Trade agreement, and increase cooperation in industries, agriculture, and mining.
Prime Minister Sharif highlighted the significance of CPEC as a flagship project of President Xi’s Belt and Road Initiative (BRI), aiming to build a stronger Pakistan-China community with a shared future. He recently reiterated at Tianjin University that the current Pakistani government’s policies “closely align with Chinese President Xi Jinping’s vision and philosophy.”
Pakistan has also sent 1,000 agriculture graduates to China for training in modern techniques, and approximately 30,000 Pakistani students are currently pursuing education and training in China.