Pakistan, China to finalise framework for third-party participation in CPEC

Pakistan and China are nearing the completion of discussions on allowing third-party involvement in the second phase of the China-Pakistan Economic Corridor (CPEC), aimed to attract additional investment.

According to a report, the plan involves extending CPEC's regional influence by enhancing the connectivity of neighboring areas with Pakistan’s ports and utilising land transportation.

A draft from the Chinese authorities, intended for the CPEC Joint Working Group on International Cooperation and Coordination (JWG-ICC), outlines the principles for third-party engagement.

These principles emphasise that CPEC will remain a collaborative and inclusive initiative, welcoming third-party contributions in agreed areas on a case-by-case basis.

The goal is to bring in high-quality capital, technology, and expertise without compromising the project’s leadership by Pakistan and China or altering the structure of existing CPEC mechanisms.

The JWG-ICC was designated to create the framework for third-party project involvement. It will conduct bilateral talks to form a consensus on these modalities, ensuring all engagements are approved by the respective authorities before public announcement.

The confidentiality of information is a priority until official project acceptance.

Following approval from the necessary authorities, the JWG-ICC will distribute cooperation proposals to relevant CPEC working groups for technical and implementation planning.

Additionally, to promote understanding of CPEC and third-party investment opportunities, informational briefings will be held at selected Pakistani and Chinese diplomatic missions.

A meeting is scheduled this week by the Ministry of Foreign Affairs to review the Chinese proposal and finalize the guidelines for third-party participation in CPEC, the sources added.