Document Type : Research Article



China-Pakistan economic corridor is the potential project that enhances local connectivity,
industrialization, financial cooperation, trade and commerce, infrastructure, tourism, the
solidity of the region and so on and so forth. It is beneficial for not only Pakistan and China
but will have the constructive impact on Afghanistan, Iran, India and the linked region. On
one hand CPEC is opening great opportunities for Pakistan to flourish their business,
industries, and trade, but on the other hand, it is also a challenge for Pakistan in many aspects
of law and order situation, regional conflicts, local financing and capacity of the banking
sector. In this report, the capacity of the banking sector of Pakistan is deeply analyzed with
the stances of different banks on CPEC and what role State Bank is playing in this venture.
Further, this report critically analyzes the problems banking sector is currently facing and
what measure they can take to overcome issues and invest in CPEC projects actively