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Pak Awaits China’s Approval to Float Ml-1 Project Tenders

According to news reports, Pakistan Railways (PR) Chairman Dr. Habibur Rehman Gilani stated that the government is awaiting approval from Chinese authorities to begin the bidding process for the USD 6.8 billion Main Line-1 (ML-1) project.

The ML-1 project, which would connect Karachi and Peshawar, is expected to be finished within five years. According to the Railways, the most significant obstacle is the project’s estimated cost, which Pakistan has estimated at USD 6.8 billion while Chinese businesses have estimated at USD 8 billion.

The Pakistani government has requested the Chinese government to initiate the early bidding process and has pledged to alter the PC-I of the project if the execution costs surpass 15%.

Read: CDA to Spend PKR 100 million on Jogging Tracks in Islamabad

In addition, Pakistan Railways Chairman Dr. Habibur Rehman Gilani indicated that the government would soon sanction a PKR 30 billion project for the rehabilitation of the decaying 460-kilometer rail track between Khanpur and Sukkur. The PR has already filed Project Concept-1 (PC-1) for the aforementioned project to the authorities.

Importantly, the ML-1 project is one of the largest railroad infrastructure projects under the China-Pakistan Economic Corridor (CPEC), spanning 1,700 kilometers from Karachi to Peshawar. The project was approved during the recent Joint Coordination Committee (JCC) meeting held in October of this year.

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