ISLAMABAD: The proposed construction of the 460km Rohri-Multan section of the long-delayed Karachi-Peshawar Main Line-1 railway project, estimated to cost more than Rs450 billion, came under review on Friday as the government explored financing options other than the long-awaited Chinese funding.
A high-level committee led by Planning and Development Minister Ahsan Iqbal did not clear the proposal prepared by the Frontier Works Organisation (FWO) after noting that the cost of locomotives, coaches and their operation would be over and above the Rs450bn estimate for the railway section.
The minister also ordered an independent third-party review of the cost estimates.
“The meeting was also briefed on the proposal of the Frontier Works Organisation (FWO) to develop the Rohri-Multan section of ML-1 through private investment. The meeting was informed that the estimated cost of the Rohri-Multan section is over Rs450 billion,” an official statement said.
“The meeting reviewed various financing options for the completion of the ML-1 project, including the Public Sector Development Programme (PSDP), foreign financing, public-private partnership (PPP), financing through local commercial banks and the domestic capital markets,” it added.
