ISLAMABAD: Pakistan’s Planning Minister Ahsan Iqbal on Wednesday expressed optimism the next phase of the China-Pakistan Economic Corridor (CPEC) would bring advanced manufacturing technologies to the country that would help strengthen its industrial base and create more employment opportunities.
CPEC, a collection of multibillion-dollar infrastructure projects in Pakistan funded by China, is a major part of Beijing’s Belt and Road Initiative, aimed at increasing trade and stimulating economic growth across Asia and beyond.
The first phase of the corridor project primarily concentrated on addressing Pakistan’s energy shortage and included the construction of roads and railways to improve connectivity.
The second phase, often referred to as CPEC 2.0, aims to develop special economic zones, improve transportation networks and the promote industrial cooperation between China and Pakistan to foster economic development.
“CPEC 2.0 represents a broader and more ambitious scope,” Iqbal said while addressing an event in Islamabad. “This new phase will bring advanced manufacturing technologies to Pakistan, enhance our industrial base and create numerous job opportunities for our youth.”
Iqbal said the focus in the next CPEC stage was going to shift beyond infrastructure development to industrial relocation, agricultural modernization, cooperation in science and technology, job creation and enhancing the socioeconomic well-being of people.
He maintained Pakistan wanted to improve food security and uplift farmers’ livelihood through CPEC 2.0, adding it would ensure a sustainable and prosperous future for the agriculture sector by adopting modern production techniques and technologies.
He also noted that China-Pakistan cooperation in the fields of science and technology would drive innovation, fostering a knowledge-based economy in the latter country that would be able to compete globally.
“With the help of China, we will have 200,000 youth trained annually in information technology-related skills that will provide Pakistan the human resource that is necessary to leverage the full potential of our youth to make Pakistan an information powerhouse,” he added.
The minister hoped that CPEC 2.0 would help attract foreign direct investment in export-oriented industries, making Pakistan a reliable destination for exports.
“Our future lies in how fast we go from $30 billion to $100 billion export and creating a sound macroeconomic platform,” he added.
Iqbal explained the trust of international investors depended on four prerequisites that every successful economy had to achieve.
“These are establishing peace, ensuring political stability, safeguarding the continuity of economic policies and demonstrating continuous commitment to reform,” he added.
The minister said the development of Gwadar Port and Free Trade Zone under CPEC 2.0 could further promote regional connectivity and economic integration.
He reiterated the next CPEC stage would herald a shift from a government-to-government model to a business-to-business framework, inviting greater private sector participation and involvement.
Pakistan eyes advanced manufacturing technologies in next stage of corridor project with China
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Pakistan eyes advanced manufacturing technologies in next stage of corridor project with China
- Pakistan’s planning minister says China will help train 200,000 Pakistani youth annually in IT skills
- Ahsan Iqbal says Pakistan’s future depends on increasing exports from $30 billion to $100 billion
Pakistan reports current account surplus in Jan. owing to improved trade, remittances
- Pakistan’s exports crossed the $3 billion mark in Jan. as the country received $3.5 billion in remittances
- Last month, IMF urged Pakistan to accelerate pace of structural reforms to strengthen economic growth
ISLAMABAD: Pakistan recorded a current account surplus of more than $120 million in January, the country’s finance adviser said on Tuesday, attributing it to improved trade balance and remittance inflows.
Pakistan’s exports rebounded in January 2026 after five months of weak performance, rising 3.73 percent year on year and surging 34.96 percent month on month, according to data released by the country’s statistics bureau.
Exports crossed the $3 billion mark for the first time in January to reach $3.061 billion, compared to $2.27 billion in Dec. 2025. The country received $3.5 billion in foreign remittances in Jan. 2026.
Khurram Schehzad, an adviser to the finance minister, said Pakistan reported a current account surplus of $121 million in Jan., compared to a current account deficit of $393 million in the same month last year.
“Improved trade balance in January 2026, strong remittance inflows, and sustained momentum in services exports (IT/Tech) continue to reinforce the country’s external account position,” he said on X.
Pakistan has undergone a difficult period of stabilization, marked by inflation, currency depreciation and financing gaps, and international rating agencies have acknowledged improvements after Islamabad began implementing reforms such as privatizing loss-making, state-owned enterprises (SOEs) and ending subsidies as part of a $7 billion International Monetary Fund (IMF) loan program.
Late last month, the IMF urged Pakistan to accelerate the pace of these structural reforms to strengthen economic growth.
Responding to questions from Arab News at a virtual media roundtable on emerging markets’ resilience, IMF’s director of the Middle East and Central Asia Jihad Azour said Islamabad’s implementation of the IMF requirements had been “strong” despite devastating floods that killed more than 1,000 people and devastated farmland, forcing the government to revise its 4.2 percent growth target to 3.9 percent.
“What is important going forward in order to strengthen growth and to maintain the level of macroeconomic stability is to accelerate the structural reforms,” he said at the meeting.
Azour underlined Pakistan’s plans to privatize some of the SOEs and improve financial management of important public entities, particularly power companies, as an important way for the country to boost its capacity to cater to the economy for additional exports.
“This comes in addition to the effort that the authorities have made in order to reform their tariffs, which will allow the private sector of Pakistan to become more competitive,” the IMF official said.
