Abstract
The China-Pakistan Economic Corridor (CPEC) provides an excellent opportunity for improving the economic and security situation in Pakistan and its neighbouring countries as well. However, such an outcome cannot be taken for granted. This paper analyses the steps that should be taken to favour this scenario and warns about the consequences of poorly-managed implementation of the CPEC such as aggravating divisions within Pakistan and heightening tensions between Islamabad and other regional players. This paper will also look into the prospective implications of the CPEC on development of Pakistan and regional stability.