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CPEC & Gilgit-Baltistan: New Opportunities & Growth

by James Carter Senior News Editor

Gilgit-Baltistan’s Ascent: How CPEC and a Regional Airline Could Unlock Pakistan’s Northern Potential

Over $65 billion is projected to be invested in the China-Pakistan Economic Corridor (CPEC) by 2030, and a significant portion of that investment is poised to reshape Gilgit-Baltistan (GB). President Asif Ali Zardari’s recent emphasis on CPEC’s benefits for GB isn’t just political rhetoric; it signals a potential turning point for a region strategically vital to Pakistan and increasingly important in the broader geopolitical landscape. But realizing this potential requires more than infrastructure – it demands a holistic approach to development, including addressing connectivity challenges within the region itself.

CPEC: Beyond Infrastructure, Towards Inclusive Growth in GB

President Zardari highlighted the opportunities CPEC brings to GB in terms of livelihood, trade, and connectivity. This is particularly crucial given the region’s historical underdevelopment and limited economic diversification. The corridor isn’t simply about building roads and power plants; it’s about integrating GB into the national and regional economy. However, ensuring these benefits reach “every valley and every village,” as the President stated, requires proactive policies focused on skills development, local entrepreneurship, and equitable distribution of resources. A key challenge lies in mitigating potential displacement and ensuring local communities actively participate in – and benefit from – CPEC projects.

The Karakoram Highway, a “living memento” of Sino-Pakistani friendship, remains central to this connectivity. However, reliance on a single artery is a vulnerability. Future CPEC investments should prioritize diversifying transportation networks within GB, including improving road conditions, expanding rail links (where feasible), and exploring alternative routes to reduce bottlenecks and enhance resilience. This aligns with broader CPEC goals of creating a multi-modal transportation network.

The Case for a Gilgit-Baltistan Airline: Bridging the Connectivity Gap

President Zardari’s seemingly off-the-cuff remark about a GB-based airline deserves serious consideration. Currently, accessing many remote areas of GB relies heavily on arduous road travel, particularly during the harsh winter months. An airline, even operating a small fleet of turboprop aircraft, could dramatically improve connectivity, facilitating tourism, trade, and access to essential services like healthcare and education.

The economics are surprisingly compelling. As the President noted, aircraft acquisition costs aren’t prohibitive. More significant would be operational costs and the development of necessary airport infrastructure. However, a public-private partnership model could mitigate these challenges. Furthermore, a regional airline could stimulate demand for local tourism, creating jobs and boosting the regional economy. Consider the success of regional airlines in similarly challenging terrains, such as those operating in the Canadian Arctic or the Scottish Highlands. IATA reports consistently demonstrate the significant economic impact of regional air connectivity.

GB’s Untapped Potential: Hydroelectric Power and Sustainable Tourism

Beyond CPEC and improved connectivity, GB possesses significant untapped potential in two key sectors: hydroelectric power and tourism. The region is estimated to have the capacity to generate over 50,000 MW of hydroelectric power, yet much of this remains undeveloped. Harnessing this resource could not only address Pakistan’s energy needs but also create a new revenue stream for GB. However, sustainable development practices are paramount to minimize environmental impact and ensure the long-term viability of these projects.

Tourism, described by the President as “limitless,” is another area ripe for growth. GB’s stunning mountain scenery, unique cultural heritage, and adventure tourism opportunities (trekking, mountaineering, skiing) are increasingly attracting international visitors. However, infrastructure limitations, including inadequate accommodation and transportation, currently constrain the sector’s growth. Investing in eco-tourism initiatives, promoting responsible travel practices, and developing a skilled tourism workforce are crucial for maximizing the benefits of tourism while preserving the region’s natural beauty.

Kashmir and Regional Stability: A Parallel Narrative

President Zardari’s remarks on the situation in occupied Kashmir, while important, underscore the complex geopolitical context surrounding GB. Highlighting the contrast between the freedoms enjoyed by the people of GB and the struggles faced by Kashmiris serves as a reminder of the broader regional challenges. Maintaining stability and fostering peaceful relations with neighboring countries are essential for unlocking GB’s full potential and ensuring the long-term success of CPEC.

The future of Gilgit-Baltistan is inextricably linked to the success of CPEC, strategic investments in regional connectivity, and a commitment to sustainable development. President Zardari’s vision, if effectively implemented, could transform GB from a strategically important but underdeveloped region into a thriving economic hub and a model for inclusive growth in Pakistan. What innovative strategies do you believe are most crucial for ensuring equitable benefits from CPEC reach all communities in Gilgit-Baltistan? Share your thoughts in the comments below!

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