Ahsan for transforming CAREC routes into next-generation economic corridors

ISLAMABAD: Federal Minister for Planning, Development and Special Initiatives Ahsan Iqbal has called for transforming Central Asia Regional Economic Cooperation (CAREC) transport routes into next-generation economic corridors by integrating infrastructure, logistics, digital connectivity, energy cooperation and climate resilience.

According to a handout issued by the Planning Ministry, the minister was speaking at the 25th CAREC Ministerial Conference in Ulaanbaatar, Mongolia. He said Pakistan viewed CAREC Corridors 5 and 6 as an opportunity to connect Central Asia with the Arabian Sea and generate economic activity along the routes.

“The question is no longer simply whether a truck can travel this route, but whether a business can use it reliably, competitively and profitably,” he said.

He said transforming regional corridors required completion of the transport chain through upgraded CAREC roads, modern border facilities at Torkham and Chaman, enhanced rail freight capacity through the proposed ML-1 upgrade, and efficient connections to dry ports and seaports.

The minister called for establishing logistics and production hubs at strategic locations, saying cold storage, packaging, warehousing and light manufacturing could turn transit traffic into exports, jobs and economic opportunities for communities along the corridors.

He also stressed the need for a digital corridor across the CAREC region, noting that the Pakistan Single Window provided a foundation for phased digital integration with regional partners. He said cargo documentation should be processed electronically before consignments reached the border.

Highlighting the importance of regional energy cooperation and climate resilience, Ahsan Iqbal said initiatives such as CASA-1000 demonstrated the potential of cross-border energy connectivity. He added that new roads, railways and logistics infrastructure should be designed to withstand floods and extreme heat.

Responding to questions on measures needed to ensure shared benefits, the minister called for coordinated planning of entire corridors, stronger cross-border cooperation and assessment of the impact of connectivity on businesses and communities.

He urged CAREC countries to identify priority cross-border projects, prepare them according to common standards and coordinate investment and construction schedules. He also called for the Asian Development Bank to play a role in mobilising financing, including private-sector investment where appropriate.

Ahsan Iqbal stressed the need to treat borders as a shared service by aligning operating hours, introducing advance electronic information, coordinating procedures and reducing repeated checks. He said progress should be measured through indicators including border delays, delivery times, local employment, SME participation and opportunities for women and youth.

Earlier, addressing the opening session of the conference, held under the theme “25 Years of Partnership, Shaping the Future Together,” the minister said Pakistan looked forward to assuming the CAREC chairmanship in 2027 and hosting the 26th Ministerial Conference.

He said Pakistan, located at the intersection of Central Asia, South Asia and maritime routes, sought to leverage its geographical position for shared regional growth through stronger connectivity, trade, digital integration and regional value chains.

On the sidelines of the conference, Ahsan Iqbal witnessed the signing of a memorandum of understanding between the CAREC Capital Markets Development Forum (CMDF) and the ASEAN Capital Markets Forum (ACMF) aimed at strengthening cooperation and connectivity between the capital markets of CAREC and ASEAN member countries.

Copyright Business Recorder, 2026