New Delhi, Dec 1 (NationPress) The China-Pakistan Economic Corridor (CPEC) has substantially elevated Pakistan’s external liabilities to China, now totaling roughly $30 billion of the nation's external debt. Elevated interest rates on loans and reliance on foreign currency financing intensify the pressure of this debt, thereby rendering the successful execution of projects more susceptible to economic and political uncertainties, as noted in a Kyrgyzstan newspaper article.

Out of the 90 proposed ventures associated with the China-Pakistan Economic Corridor, only 38 have reached completion, with the Gwadar Port and airport functioning at a restricted capacity. This starkly illustrates the disparity between grand aspirations and the reality of project execution, the article from 24.kg emphasizes.

The initiative also contends with challenges related to security and public perception. In Balochistan, local voices advocate for a more equitable approach that ensures the interests of residents are prioritized alongside major investment objectives.

Among the nine Special Economic Zones (SEZs), development is actively taking place in only three, while the remaining zones are still in the planning or discussion phase. This situation underscores the institutional hurdles and the necessity for more synchronized efforts to fulfill the original ambitions.

The article further points out that the project imposes environmental stress; the rise in resource consumption and emissions necessitates enhanced monitoring and the integration of sustainable practices. Without these measures, the risks to ecosystems could be substantial.

The trajectory of CPEC is unfolding amid shifts in international relations. New alliances present opportunities for diversifying investments but also expose the fragility of a model overly reliant on a single principal partner.

CPEC 2.0 indicates that even expansive, ambitious projects demand adaptability, meticulous management, and an understanding of genuine economic, institutional, and social conditions. While the project retains its strategic significance, its realization confronts significant obstacles, necessitating plan adjustments and a balanced risk distribution, the article observes.

The China-Pakistan Economic Corridor, initially heralded as the flagship project of the Belt and Road Initiative, has experienced considerable transformations. Launched in 2015 with an investment commitment of $46 billion, the project was initially designed to serve as a transformative platform for Pakistan’s infrastructure and a strategic conduit for China. Over ten years, it has evolved from an ambitious mega-project into a scaled-back initiative that must adapt to prevailing realities.

As of 2025, the project has transitioned into a new phase — CPEC 2.0 — with a focus on industrial zones, agriculture, and extractive industries, rather than large-scale mega-projects. This shift reflects not only the practical challenges of infrastructure implementation and financial limitations but also governance and coordination challenges that affect the pace and quality of execution, the article concludes.