Beijing will "indefinitely suspend all activities under the framework" of the agreement, the statement said.
The 'Belt and Road' deals struck with Beijing in 2018 and 2019 triggered the legislative response.
The CPEC, which connects Gwadar Port in Pakistan's Balochistan with China's Xinjiang province, is the flagship project of China's ambitious multi-billion-dollar BRI.
Pakistan has slipped into a debt trap due to the government's failure to bring reforms and weak fiscal management.
Chinese President Xi Jinping today defended his ambitious multi-billion dollar Belt and Road Initiative (BRI), saying China has no "geo-political calculations" and the project will benefit the world.
The Center for Global Development research evaluated the current and future debt levels of the 68 countries hosting BRI-funded projects.
Belt and Road Initiative to increase China's strategic presence in Indian Ocean, says US top general
A top American general today said China's access to Pakistan's Gwadar Port has the potential to increase Beijing's strategic presence in the Indian Ocean.