CPEC's success hinges on peace in Balochistan

The recent hijacking of a train and holding of civilians and military personnel hostages by the Balochistan Liberation Army in Pakistan's Balochistan province, and its confrontation with security forces highlight Islamabad's ongoing struggle with terrorism.

While the Pakistani military neutralized the immediate threat, such incidents raise serious concerns about the country's internal security and their implications for large-scale infrastructure projects, particularly the China-Pakistan Economic Corridor. Recurrent terrorist attacks deter foreign investment, demoralize the workforce and undermine the viability of development initiatives, especially in the Pakistani provinces bordering Afghanistan.

Foreign direct investment is susceptible to political instability. The insurgency in Balochistan has created an environment of uncertainty, discouraging international investors from committing resources to development projects in the province.