Committee reviews PSDP, foreign funding, PPP and domestic financing options for Rohri-Multan section, with independent feasibility study ordered.
Federal Minister for Planning, Development and Special Initiatives Ahsan Iqbal has called for a comprehensive and sustainable financing strategy to ensure the timely completion of the Main Line-1 (ML-1) railway project.
A committee formed on the Prime Minister’s directives met under Ahsan Iqbal to examine financing options for the Rohri-Multan section of ML-1. The meeting considered several funding avenues, including the Public Sector Development Programme (PSDP), foreign financing, public-private partnerships (PPP), local commercial bank lending and domestic capital markets.
The committee also reviewed a proposal from the Frontier Works Organization (FWO) to develop the Rohri-Multan section through private-sector investment. Officials said the estimated cost of this section exceeds Rs450 billion, highlighting the need for a financially viable implementation framework.
Officials briefed the meeting on the deteriorating condition of the railway infrastructure and its impact on train safety. During the past decade, 399 train derailment incidents were attributed to the poor condition of the railway line, while 158 other accidents were reported during the same period.
Ahsan Iqbal emphasized that upgrading and modernizing ML-1 remains a major government priority. He said an improved railway network would enhance passenger safety and services while supporting trade, industrial activity and the movement of goods across Pakistan.
The minister also announced that work on the Karachi-Rohri railway section, supported through Asian Development Bank financing, is scheduled to begin during the current fiscal year. He directed relevant authorities to complete all preparatory requirements without delay.
For the Rohri-Multan section, Ahsan Iqbal ordered a comprehensive feasibility study by an independent and credible third party. The study will assess the section’s technical, financial and economic viability and help determine an appropriate financing model.
The Ministry of Railways was also instructed to evaluate future requirements for locomotives, freight rolling stock and passenger coaches, along with their financing needs, and incorporate them into an integrated modernization plan.
Ahsan Iqbal noted that repeated reductions in the development budget are affecting projects of national importance. He stressed the need to maximize available resources while pursuing alternative financing mechanisms.
He described ML-1 as more than a railway infrastructure project, saying its completion would have wider implications for Pakistan’s transport system, trade, industry and economic growth.