The Rawalpindi–Kahuta Road upgradation project is expected to miss completion within the current fiscal year after the federal government allocated only Rs. 1 billion in Budget 2026–27 for the scheme.
The project includes the widening and construction of a 28.4-kilometre dual carriageway between Rawalpindi and Kahuta, along with associated infrastructure such as the Sihala Railway Crossing overhead bridge, the Sihala Bypass, and the Kahuta Bypass. It was approved by the Executive Committee of the National Economic Council (ECNEC) in July 2023.
Despite earlier allocations in previous budgets, progress has remained slow. During the last fiscal year, only around one kilometre of dual carriageway near Hothla Stop was completed, while work on the Kahuta Bypass saw limited progress.
Budget documents place the revised total cost of the project at Rs. 23.545 billion. Official estimates show that cumulative expenditure had reached Rs. 6.586 billion by June 30, 2026, leaving Rs. 16.958 billion still to be spent.
However, the newly allocated Rs. 1 billion for the current fiscal year has raised concerns over further delays and the overall pace of implementation.
The Rawalpindi–Kahuta Road serves as a key transport corridor linking Rawalpindi with Kahuta and providing onward access to Kotli and Rawalakot in Azad Jammu and Kashmir. The route is also considered strategically important due to its defence relevance and its connection to several major regional road networks.
