From Corridor to Catalyst: Embedding National Priorities in CPEC 2.0

During the 75th anniversary celebrations of Pak-China diplomatic relations, both nations recommitted to accelerating CPEC 2.0. Yet, a stark disconnect persists between these pledges and Pakistan’s national priorities. Our economic, fiscal, industrial, investment, social export policies are not aligned to support the revival of this mega-project. Consequently, extreme poverty is resurging, social development and industrial growth have stalled, foreign direct investment is derailed, policy continuity remains absent damaging the early start of CPEC 2.0. The neglect of health, education, people’s welfare community development is glaring. This stems from flawed policies and a disintegration of coordination among the Planning Commission, the URRAN program, the Ministry of Finance, the Board of Investment (BOI), the SECP the State Bank of Pakistan (SBP). Their conflicting targets and mismanagement send mixed, confusing signals to both the local business community and foreign investors, turning CPEC 2.0 into a playground for bureaucratic turf wars that delay its commencement and completion. The federal Budget 2026-2027 starkly illustrates this reality. It announced a massive Rs3.675 trillion in development allocations, yet contains hardly any new uplift projects. CPEC 2.0, the sole new initiative listed, received a meagre allocation of Rs1 billion. This token amount vividly reflects our true national priorities. Despite lofty rhetoric, the budget does not support or facilitate an early initiation of CPEC 2.0 a deeply ominous sign. The government and its policymakers must immediately revisit their approach and focus on tangible economic development instead of building castles in the air. Austerity campaigns ring hollow when contrasted with the physical pomp of big protocols, motorcades security umbrellas. Unfortunately, anti-people and anti-business conduct, the lust for unlimited discretionary powers, the worship of non-professionalism, and reliance on cheap marketing and m