Govt seeks fresh financing plan for ML-1 section
ISLAMABAD: The proposed construction of the 460km Rohri-Multan section of the long-delayed Karachi-Peshawar Main Line-1 railway project, estimated to cost more than Rs450 billion, came under review on Friday as the government explored financing options other than the long-awaited Chinese funding. A high-level committee led by Planning and Development Minister Ahsan Iqbal did not clear the…
The government is seeking a new plan to finance the construction of the Rohri-Multan section of the Karachi-Peshawar Main Line-1 railway project, an endeavor estimated to cost over Rs450 billion. This comes after a high-level committee, led by Planning and Development Minister Ahsan Iqbal, reviewed the proposal submitted by the Frontier Works Organisation (FWO) and found that the cost of locomotives, coaches, and their operation would exceed the initial estimate.
The minister has ordered an independent review of the cost estimates and directed a comprehensive feasibility study by an impartial third party. The meeting also discussed financing options such as the Public Sector Development Programme (PSDP), foreign financing, public-private partnership (PPP), and funding through local commercial banks and the domestic capital markets.
The government's priority is the upgradation and modernisation of ML-1, but the minister expressed dissatisfaction with the participation of some ministries at an additional secretary level, insisting that federal secretaries attend future meetings. The railways secretary was asked to provide an accurate estimate for the rolling stock and also explore Pakistan Railways' potential to generate funding through its own marketing plan.
Written by urgent.news from Dawn's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
