Pakistan railway upgrade is moving forward with the Asian Development Bank (ADB) stepping in to fund improvements to a key southern stretch of the country’s rail network. The decision comes after delays in securing financing from China raised concerns over a major mining project.
ADB is reportedly in advanced discussions to provide $2 billion for upgrading 500 kilometres of track from Karachi to Rohri. This section was originally included in a $60 billion Chinese investment plan announced in 2015 under the Belt and Road Initiative.
The upgrade is critical for transporting copper from the Reko Diq mine, being developed by Canada’s Barrick Mining Corporation. Sources close to the talks said the project has gained urgency due to the mine’s operational requirements.
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While ADB has not officially confirmed the financing package, it stated that the bank and Pakistan’s government regularly discuss development plans for the railway sector.
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