The Rawalpindi-Kahuta Road upgradation project is unlikely to be completed during the current fiscal year after the federal government allocated only Rs. 1 billion for the scheme in Budget 2026-27.
The project involves the widening and construction of a 28.4-kilometer dual carriageway between Rawalpindi and Kahuta, along with the Sihala Railway Crossing overhead bridge, Sihala Bypass and Kahuta Bypass. It was approved by the Executive Committee of the National Economic Council (ECNEC) in July 2023.
Despite receiving substantial funding in previous budgets, progress on the project has remained slow. During the last fiscal year, only around one kilometer of dual carriageway near Hothla Stop was completed, while work on the Kahuta Bypass saw limited advancement.
Budget documents show the revised cost of the project at Rs. 23.545 billion. Official estimates indicate that expenditure on the scheme had reached Rs. 6.586 billion by June 30, 2026, leaving Rs. 16.958 billion to be spent.
However, only Rs. 1 billion has been allocated for the project in the new fiscal year, raising concerns about further delays.
The Rawalpindi-Kahuta Road is a key route connecting Rawalpindi with Kahuta and providing access to Kotli and Rawalakot in Azad Jammu and Kashmir. The corridor is also considered strategically important due to its defence significance and links to several regional road networks.
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