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Significance

The network of new land routes to link East Asia and Europe was first raised by President Xi Jinping on a 2013 visit to Kazakhstan, through which the more critical central corridor passes, with connections to the northern one. Kazakhstan's government strongly supports the endeavour, as it helps it achieve a number of goals: improving domestic infrastructure, attracting foreign direct investment (FDI), boosting employment in road construction and related industries and, in the long term, diminishing dollarisation of the economy.

Impacts

Greater political, economic and cultural ties are expected to be forged between Kazakhstan and China.

Improved transport infrastructure is to increase Kazakhstan's competitiveness and improve its attractiveness for FDI.

Central Asian inter-regional trade is likely to increase.

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