What is CPEC?
CPEC, or the China-Pakistan economic corridor, is a collection of infrastructure projects built in Pakistan with the help of China. It was established in 2013, and its value is said to be 62 billion dollars. The Gwadar Port, which is currently under operation, is also a part of this project.
How CPEC will benefit the real estate sector
Help develop the infrastructure
It is no secret that the infrastructure in Pakistan is extremely poor, especially in remote areas. Poor infrastructure has killed several people and has halted trading. CPEC has constructed highways and roads that are modernly built and will make travel more accessible to China and within the country. Good infrastructure boosts the real estate sector and will positively impact the real estate market.
Power shortage is a problem many countries face, and Pakistan is no stranger to this problem. Several power projects under CPEC are being developed, including the largest solar plant-the Quaid-e-Azam solar plant located in Bahawalpur. This leads to a more excellent supply of energy and allows Pakistan to make renewable energy. Renewable energy is both cheaper and more environmentally friendly. A decrease in the cost of energy will decrease the cost of production of real estate projects. With lower cost comes higher profit; thus, new investors will attract, and there will be increased activity in the real estate sector. Invest in Rudn Enclave.
Helps promote Pak-China friendship
Pak-China friendship has been made even more robust due to CPEC. This project ties both countries into an economic partnership. It has brought them closer and has helped maintain peace and friendship. Having a friendly neighbor is beneficial for Pakistan as it makes the country feel more secure. While Pakistan’s relationship with India has constantly become worse, China has always proven to be a true friend by standing with Pakistan at all times. With CPEC, there will be an increase in Chinese immigration, and since these people will need a house to stay in, the demand for housing, societies will increase.
Will attract foreign investment.
Pakistan suffered as a result of the war with Afghanistan in terms of the lives lost and from an economic point of view. CPEC helped Pakistan regain its standing in the international world. After CPEC and China’s interest in Pakistan, people started viewing Pakistan as a country with economic potential. CPEC has resulted in foreign investment entering Pakistan. All the terrorist attacks taking place in Pakistan during the war with Afghanistan closed the doors for any foreign investment. It was CPEC that opened these doors again. Foreign investment is extremely important for the development of the real estate sector. Not only does it increase the capital, but it also brings new innovative ideas for real estate projects into the country.
Will create several jobs.
CPEC will employ several people and help tackle the rising unemployment in Pakistan. The coal power station in Sahiwal has already hired three thousand locals. Moreover, 30,000 jobs have been created to make finding work a lot easier. Many of these projects are located in KPK and Baluchistan, where employment opportunities are already meager. These people working in these areas will surely need houses to live in. Hence real estate sector of these remote areas will flourish with the development of housing societies there. Do you know the new master plan of 1947 Housing?
CPEC has proven to be highly beneficial to Pakistan, especially for its real estate sector. Despite all the initial talks about it having negative consequences for Pakistan and being a debt trap, it has given Pakistan a lot of economic benefits. It will continue to result in many more. CPEC gives Pakistan a chance to emerge as a developed country with a fast-growing economy.