English
Islamabad: Pakistan Railways has received support from the Asian Development Bank (ADB) as the sector is facing a massive financial crisis. According to the reports, the ADB will provide funding to upgrade a part of Pakistan’s dilapidated railway system. ADB has stepped in due to delays in Chinese funding that were putting pressure on a strategic mining project.
According to a Reuters report, USD 6 billion of Chinese investment was planned for the revival of 1,800 kilometers (1,118 miles) of railway in Pakistan. This was announced in 2015 as part of Beijing’s Belt and Road Initiative (BRI) to advance global infrastructure. However, even a decade later, no financial package has materialized, making it the largest project under this program with China. Reuters reports that neither Pakistan’s Ministry of Railways nor China’s Ministry of Foreign Affairs has immediately commented.
A senior Pakistani official said, “We will not do anything that could endanger this relationship.” China has been continuously investing in Pakistan since 2015, although the pace of investment has slowed in recent times.
According to the reports, under the ADB-funded railway upgrade project, the tracks and bridges from Karachi to Rohri near Sukkur in the north will be modernized. This will allow diesel trains to run faster. In Rohri, this line will connect with a branch coming from the Reko Diq mining area and will carry copper concentrate to the port. This makes it significant from a commercial perspective as well.
