China has huge and long-term presence in Gilgit-Baltistan and is building extensive road, bridge and telecom networks to sustain it. The drivers compelling China to develop Karakoram Corridor are diverse and mainly pertain to its economic, strategic and political ambitions. However, the projects, which currently serve the strategic and economic interests of the investor, need to promote interests of the local people and enhance their decision-making power and control over project revenues on priority basis. Growing Chinese interference in local affairs will create friction among different stakeholders and lead to instability in Gilgit-Baltistan. Chinese and Pakistani control over resource-revenues may be a short-term tactical move, but will fail to provide any long-term strategic gains.