Islamabad: The government is pursuing financing arrangements for the Main Line-1 (ML-1) railway upgrade project, which remains a key strategic initiative under the China-Pakistan Economic Corridor (CPEC) 2.0 and Pakistan’s broader transport modernisation agenda.
According to the Economic Survey 2025-26, the ML-1 upgradation project continues to be a priority for the government as part of efforts to modernise the national railway network and develop an integrated transport corridor linking major economic centres across the country.
The survey stated that third-party financing negotiations are currently under way for the Karachi-Rohri section of the project. Meanwhile, a detailed financial proposal has been prepared for the Rohri-Peshawar section to explore potential Chinese financing for the remaining segments of the railway corridor.
ML-1 is Pakistan Railways’ flagship infrastructure project and is designed to upgrade the country’s primary north-south rail artery connecting Karachi and Peshawar. The project is expected to improve operational efficiency, enhance passenger and freight movement, and strengthen connectivity across the national transport network.
The Economic Survey noted that Pakistan Railways remains an integral component of the country’s transport infrastructure, playing a vital role in passenger mobility, freight transportation and economic integration.
Currently operating a fleet of 444 locomotives across a route network spanning 7,791 kilometres, Pakistan Railways transported 24.16 million passengers during the July-March period of FY2025-26.
Freight operations reached 4,839 million tonne-kilometres during the same period, reflecting the railway system’s continued importance in supporting trade, logistics and industrial activity across the country.
Pakistan Railways generated gross earnings of PKR 63.6 billion during July-March FY2025-26, compared with PKR 65.2 billion recorded during the corresponding period of the previous fiscal year.
The survey highlighted that continued investment in railway infrastructure, alongside broader efforts to modernise logistics, transport and port networks, remains essential for improving connectivity, reducing transportation costs and supporting long-term economic growth.
The government views the ML-1 project as a cornerstone of these efforts, with financing arrangements for key sections expected to play a critical role in advancing the long-awaited railway modernisation programme.
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