With half of the 38.3-kilometer Rawalpindi Ring Road project completed, authorities have announced a major redesign of the Thalian Interchange to accommodate growing traffic needs and future expansion plans.
The decision follows consultations with the National Highway Authority (NHA), as the Thalian Interchange falls under its jurisdiction. The redesign will transform the existing plan into a broader, more complex structure, which is expected to increase the project’s overall cost significantly.
Initially, the Executive Committee of the National Economic Council (ECNEC) had approved the revised PC-1 for the project at Rs. 33 billion, down from the previously proposed Rs. 39 billion.
However, with the new interchange design, additional land acquisition, and inflation in construction material costs, the budget is now projected to climb back up — potentially hitting Rs. 39 to Rs. 40 billion.
The Frontier Works Organization (FWO), which is handling construction under the Rawalpindi Development Authority’s (RDA) Project Management Unit (PMU), has reportedly requested a cost revision, citing outdated contract rates from 2021 and rising expenses in 2025.
The RDA has been directed to initiate Section 4 for the acquisition of additional land required for the redesigned Thalian Interchange, which will also play a central role in Phase 2 of the Ring Road.
Despite progress on the core infrastructure, a proposal to establish economic zones along both sides of the Ring Road is still pending approval. Chief Minister Maryam Nawaz has set a target of December 2025 for the project’s completion.