Govt seeks fresh financing plan for ML-1 section

Dawn reported that a panel chaired by planning minister Ahsan Iqbal declined to endorse the Frontier Works Organisation's plan for the 460km Rohri-Multan stretch of the Karachi-Peshawar Main Line-1 railway. The stretch is put at over Rs450bn, and the Friday review came as officials looked at funding sources beyond the long-expected Chinese funds.

Members noted that locomotives, coaches and their running costs sit on top of the Rs450bn estimate, so Iqbal ordered an outside third-party assessment of the expenditure forecasts. Financing routes on the table include the Public Sector Development Programme, overseas loans, public-private partnerships, borrowing from domestic banks and the local capital market.

Iqbal asked the railways secretary for updated estimates of rolling stock, along with a projection of funds Pakistan Railways could raise through its own commercial plan. He also wants a feasibility study by a credible independent body, and warned that repeated development budget cuts are hurting projects of national importance. The meeting also heard about poor track conditions and accidents blamed on deteriorating infrastructure.