The financing agreement for Pakistan’s ML-1 railway project has been delayed once again due to the need for re-signing and adjustments to the project’s construction phases. The agreement, originally scheduled to be finalized in the last quarter of 2024, remains unresolved despite efforts by the Planning Commission and Economic Affairs Division to reach a consensus.
Virtual negotiations are now set to take place tomorrow, ahead of a visit by a Chinese technical team next month. During the talks, the final feasibility study and details of the team’s visit will be discussed, with the study’s schedule expected to be announced.
The ML-1 project, a key component of the China-Pakistan Economic Corridor (CPEC), has now been divided into two phases. Sources revealed that the agreement will move to the signing stage following discussions at the Joint Working Group meeting. However, the inauguration of the project, initially planned for February 2025, is likely to be postponed due to the ongoing delays.
The ML-1 railway project is considered a critical infrastructure initiative aimed at modernizing Pakistan’s rail network and boosting connectivity under CPEC.
