According to local media, a newly proposed China-Pakistan railway project, which is regarded the “most expensive” transit infrastructure, will cost an estimated $57.7 billion.
According to Geo News, the projected railway connecting Gwadar Post and Xinjiang’s Kashgar has strategic significance and the “potential to reshape trade and geopolitics.”
Experts from China Railway First Survey and Design Institute Group, who evaluated the railway, encouraged support for the new project. Zhang Ling, the deputy director of capital operations, led the team.
“The government and financial institutions (in China) should provide strong support, increase coordination and collaboration among relevant domestic departments, strive for the injection of support funds and provide strong policy support and guarantees for the construction of this project,” the team said.
According to Geo News report, Pakistan is likely to benefit greatly from the infrastructure and will be able to readily trade with China.
The railway project will also increase communication between countries along the ancient Silk Road trading routes. The report also indicated that the project is part of a larger strategy to lessen reliance on Western-dominated networks.
According to the analysts, the project is projected to increase job creation, infrastructure investment, and commerce.
According to the analysis, Pakistan’s GDP last year was just six times the estimated cost of the project, making sufficient finance impossible.
“Due to energy shortages, poor investment environment and fiscal deficits, Pakistan’s economic growth rate has come under pressure,” the team added.
“In terms of railway investment and construction, Pakistan is unable to provide sufficient financial and material support and mainly relies on Chinese enterprises for investment and construction.”
Furthermore, security concerns in Pakistan could stymie the railway project and jeopardize Chinese workers and investments, Geo News reported.
