Business

Govt Drops ML-1 Railway Project From CPEC

The federal government has informed lawmakers that the Main Line-1 (ML-1) railway project is no longer part of the China-Pakistan Economic Corridor (CPEC) and will instead seek financing from the Asian Development Bank (ADB) and other international financial institutions.

The disclosure was made during a meeting of the Senate Standing Committee on Economic Affairs, where Economic Affairs Secretary Hameer Karim said the project, originally planned under the CPEC framework at an estimated cost of $7.7 billion, has been separated from the initiative. The government is now pursuing funding from multilateral lenders, including the ADB.

ML-1 is Pakistan’s largest railway modernization project and aims to upgrade the country’s main railway line from Karachi to Peshawar by replacing tracks, modernizing signaling systems, increasing train speeds, and improving freight capacity. The project has long been considered the flagship transport component of CPEC but has faced repeated delays over financing and cost negotiations.

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The Senate committee also sought details about the project’s revised financing plan and questioned the Economic Affairs Division over its handling of legal matters related to foreign-funded projects.

Separately, the National Assembly Standing Committee on Railways directed Pakistan Railways to submit detailed reports on railway land encroachments and the progress of its restructuring and revival plan, including updates on the ML-1 and Pipri Marshalling Yard (PIPRI) projects.

The committee also reviewed recent railway accidents, including the Shalimar Express collision near Lakha Road Station and the Tezgam derailment on the Lodhran-Bahawalpur section. Pakistan Railways briefed lawmakers on the causes of the incidents, departmental inquiries, and disciplinary action taken against officials.

Lawmakers also asked the Ministry of Railways to present a comprehensive update at the committee’s next meeting on progress made under the railway restructuring plan and the implementation status of the ML-1 project.

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Published by
Muhammad Bilal