Pakistan and China are set to enhance their collaboration at the upcoming Belt and Road Forum with an additional agreement aimed at reducing the cost of the ML-1 railway project by $3.3 billion. This brings the total project cost down from $9.8 billion.
The revised plan divides the project into three phases, targeting enhancements along the Karachi to Peshawar railway line.
Phase one will prioritize track upgrades from Nawabshah to Rohri, Lahore to Multan, and Lahore to Lala Musa, crucial sections requiring modernization to bolster the railway network’s efficiency.
Phase two will focus on improving connectivity in the Kemari to Hyderabad and Hyderabad to Multan corridors, vital for regional integration.
Phase three will address the segments from Lala Musa to Rawalpindi and Rawalpindi to Peshawar, along with upgrades to the Havelian Dry Port, facilitating cargo handling.
However, the project faces several challenges, notably securing international financing and providing a sovereign guarantee, essential for financial backing. Overcoming these hurdles is imperative for the successful execution of the railway upgrade endeavor.