China to Invest $46B in Pakistan

April 20, 2015 Share Print 0

China’s President Xi Jinping is on a two-day visit to Pakistan, where he is expected to announce investment of $46bn (£30.7bn).

The focus of spending is on building a China-Pakistan Economic Corridor (CPEC) – a network of roads, railway and pipelines between the long-time allies.

They will run some 3,000km (1,865 miles) from Gwadar in Pakistan to China’s western Xinjiang region.
The projects will give China direct access to the Indian Ocean and beyond.

This marks a major advance in China’s plans to boost its economic influence in Central and South Asia, correspondents say, and far exceeds US spending in Pakistan.

“Pakistan, for China, is now of pivotal importance. This has to succeed and be seen to succeed,” Reuters quoted Mushahid Hussain Sayed, chairman of the Pakistani parliament’s defence committee, as saying.

Pakistan, for its part, hopes the investment will boost its struggling economy and help end chronic power shortages.

via BBC

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Bio
Twitter
Google+
Latest Posts

Alfonso Esparza

Senior Currency Analyst at Market Pulse

Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.