Prime Minister Shehbaz Sharif has directed authorities to accelerate work on the Main Line-1 (ML-1) upgrade and approved the use of identified Pakistan Railways land, valued at billions of rupees, to help secure bank financing for the construction project through commercial developments. The directives were issued during a meeting in Islamabad focused on reforms in Pakistan Railways and progress on the ML-1 upgrade, with the government seeking to move the long-planned railway modernisation project forward while developing new financing mechanisms for its implementation.
The prime minister also ordered corporate-style reforms across Pakistan Railways and directed officials to prepare a comprehensive plan within two weeks that reflects the actual commercial potential of railway-owned land. The approach is intended to make greater use of valuable railway properties while supporting the financial requirements of the rail network. Under the plan, identified railway land could be developed through commercial projects to generate resources and support bank financing for railway infrastructure.
Shehbaz Sharif praised teams from the National Accountability Bureau and the Ministry of Railways, led by the NAB chairman, for their work in identifying and recovering railway land that had been encroached upon. The recovery of such land provides Pakistan Railways with additional assets that can potentially be used as part of broader commercial and financial planning. The prime minister emphasised that the value of railway properties should be properly assessed and their commercial potential incorporated into the future strategy for the department.
The prime minister described the modernisation of ML-1 as a key component of the development of Pakistan Railways. The project is expected to support improvements in passenger facilities while also expanding the railway’s freight transportation capacity. Shehbaz said implementation should proceed on a commercial basis, indicating that the government wants the project to be supported through financially sustainable arrangements rather than relying solely on conventional government funding.
The government is also seeking to use Pakistan Railways’ property portfolio to improve the department’s financial position. Shehbaz said valuable railway land should be brought into productive commercial use to support both the national economy and the railway sector. He also stressed that making Pakistan Railways financially self-reliant through corporate-style reforms remains a government priority. According to the prime minister, the railway minister is working to transform the department into a profitable entity while improving its operational performance.
The meeting was informed that the 1,726-kilometre ML-1 upgrade has been divided into four major sections to facilitate implementation and financing. These sections comprise Karachi-Rohri, Rohri-Multan, Multan-Lahore and Lahore-Peshawar. The division of the route into separate sections allows different financing and construction arrangements to be considered for various portions of the project, with international financing currently being used for the Karachi-Rohri section.
Plans are being prepared to finance the remaining sections through domestic resources. The financing strategy therefore combines international funding for the Karachi-Rohri portion with proposed domestic financing arrangements for the other three sections. The use of railway land for commercial projects and bank funding forms part of the government’s wider effort to identify additional resources for infrastructure development while reducing the financial burden on public finances.
Participants at the meeting were also briefed on the various construction stages of ML-1, the progress being made on the Karachi-Rohri section and matters concerning railway-owned land. The discussions covered both the infrastructure requirements of the project and the broader property and financial issues affecting Pakistan Railways. The prime minister’s directions indicate that the government intends to maintain closer oversight of implementation and financing as work progresses.
The meeting was attended by Federal Ministers Ahsan Iqbal, Ahad Khan Cheema, Muhammad Aurangzeb and Hanif Abbasi, Minister of State Bilal Azhar Kayani, State Bank of Pakistan Governor Jameel Ahmad, NAB Chairman Lieutenant General (Retd) Nazir Ahmad Butt and other senior officials. The government’s latest directives place the ML-1 upgrade alongside institutional reforms and commercial utilisation of railway assets, with the stated objective of improving Pakistan Railways’ financial sustainability, passenger services and freight operations.
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