Key Takeaways
- ADB and World Bank are considering financing Pakistan’s ML-1 railway project.
- The project’s estimated cost has been revised to $6.68 billion to $6.8 billion.
- ML-1 aims to improve railway infrastructure and operational efficiency.
The Asian Development Bank (ADB) and the World Bank have expressed interest in financing Pakistan’s Karachi Peshawar Main Line 1 (ML-1) railway project, which has a revised estimated cost of up to $6.8 billion.
The Economic Affairs Division briefed the National Assembly’s Standing Committee on Economic Affairs on the project, highlighting that the ADB is being considered as the lead financing institution.
Other institutions, including the Asian Infrastructure Investment Bank, World Bank, European Investment Bank, Islamic Development Bank, and Japan International Cooperation Agency, have also shown interest in the project.
The ML-1 project covers more than the rehabilitation and upgrading of railway infrastructure, including institutional and operational reforms aimed at improving the efficiency, sustainability, and service delivery of Pakistan Railways.
Following a reassessment, the estimated cost of ML-1 was revised to between $6.68 billion and $6.8 billion, down from the earlier estimate of about $9 billion.
The infrastructure is being designed to accommodate train speeds of up to 160 kilometers per hour, while the currently envisaged operational speed is up to 120 kilometers per hour.
The construction period is targeted at about three years, with the committee raising concerns about the proposed operational speed.
Committee members stressed the need to fully utilize modern railway technologies and international standards, calling for infrastructure and operational parameters to support speeds of up to 160 kilometers per hour where technically and economically feasible.
