RURAL DEVELOPMENT OF CPEC ENERGY PROJECT IMPACT ON SOCIAL RESPONSIBILITIES AND SOUTH REGION OF PAKISTAN

Abstract

Because of its potential benefits to economic prosperity and sustainable growth of people's lives, the China-Pakistan Economic Corridor (CPEC) has become a game changer not just for policymakers but also for ordinary Chinese and Pakistani individuals. It is the most significant foreign investment ever made in Pakistan. Using an event research technique, this study adds to the literature by assessing the influence of CPEC on stock returns. We estimate the cumulative abnormal returns across sectors to see if this effect differs across sectors. Furthermore, this research aims to determine whether or not the influence of CPEC has reached a definite level. The median equality test is used to analyse the impact of CPEC on non-financial enterprises listed on the Karachi Stock Exchange's financial and operational performance. The impact of CPEC on the stock market is found to be favourable but not significant, indicating that the stock market's remarkable performance cannot be attributed to CPEC. At the sectoral level, the impact of CPEC is also mixed.