ISLAMABAD: The federal government has informed the Senate that the first phase of Pakistan’s Mainline-I (ML-I) railway project, covering the 480-kilometre Karachi–Rohri section, carries an estimated cost of $2.1 billion. The update, reported on October 31, 2026, also highlighted ongoing efforts to explore financing options for the project’s second phase.
The Karachi–Rohri section is a major part of the proposed railway modernisation programme. Construction is expected to begin during the current fiscal year, subject to the completion of required approvals, financing arrangements and procurement. However, an official construction start date has not yet been confirmed.
Meanwhile, the second phase covering the Multan–Rohri section has an estimated cost of Rs. 470 billion under a proposed construction model. Prime Minister Shehbaz Sharif has formed a committee to examine possible financing arrangements for this phase and recommend suitable options.
One of the financing approaches under consideration involves using Pakistan Railways’ land as collateral to secure funding. The government is also exploring alternative arrangements in view of existing financial constraints. However, no decision has been announced regarding the specific railway properties, their valuation or the potential lending arrangements.
The ML-I project is intended to modernise Pakistan’s railway infrastructure and improve connectivity along important transport corridors. Upgrading railway facilities could support passenger services, freight movement and commercial links between major cities.
The proposed use of railway land as collateral has also brought public asset management into focus. However, the financing plan remains under examination and does not confirm that any railway property has been pledged or transferred.
Further progress will depend on the committee’s recommendations, financing agreements and the completion of necessary approvals. The confirmation of funding sources, procurement arrangements and construction schedules will be important milestones for both phases of the ML-I railway project.
