Lahore: The Belt and Road Initiative (BRI) is expected to increase global trade by 12% through cost reduction, according to a news report. A report prepared by the ING Economic and Financial Analysis, the BRI has been labelled as growing transport connections between Asia and Europe and calls the trade between involved countries as accounting for more than a quarter of the total global trade. This improved connectivity and lesser trade costs associated with the route are expected to have a significant global impact, according to this report.
The report further reads that countries in Central Asia and Eastern Europe would gain the most from this. The three routes through Iran and Turkey are seen as offering an alternative route between China and Europe, as well as connecting China, the Middle East and North Africa by rail. With more infrastructural development along these routes, the ports along this Road will start to increasingly function and offer an access point to and from the EU via Gwadar.
The report highlights that various opportunities already exist for transportation of goods using rail between China and Europe and that these would attract a wide range of industries with timely deliveries of products.
