Islamabad, Feb 21: The Islamabad IT Park project, managed by the Ministry of IT & Telecom (MoITT), has encountered significant delays, leading to a cost escalation of approximately Rs. 2.76 billion. To complete the project, an additional Rs. 9.858 billion is now required from the next fiscal year’s Public Sector Development Program (PSDP), pushing the total revised budget to Rs. 26.065 billion.
Launched on April 20, 2016, and originally projected to cost Rs. 23.303 billion, the IT Park is now scheduled for completion by June 30, 2026. So far, Rs. 16.207 billion has been spent, with only 38% of the construction completed, despite 40% of the allocated budget being utilized. The project’s groundbreaking ceremony took place on May 26, 2021, in Chak Shahzad, with the presence of then IT Minister Syed Amin Ul Haq and Korean Ambassador Suh Sangpyo.
Funded through financial assistance from Exim Bank Korea, the IT Park spans 66,893 square meters and will feature a twelve-story structure, including two basement levels and ten above-ground floors. The facility aims to accommodate over 120 startups and small to medium enterprises (SMEs), offering essential infrastructure such as testing labs, classrooms, an industry-academia linkage center, and an auditorium.
The project aligns with Pakistan’s Vision 2025, Sustainable Development Goals (SDGs), and the Digital Pakistan Policy. 
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It is designed to serve as a cutting-edge technology hub, incorporating a Level 3 data center, an incubation center for 15 startups, a business support center, and commercial as well as recreational spaces. Upon completion, the IT Park is expected to create approximately 10,000 jobs.
While the grey structure has been finalized, work on finishing touches and Mechanical, Electrical, and Plumbing (MEP) installations is still ongoing. Additionally, the data center’s design has received certification from the Telecommunications Industry Association (TIA).
Amid concerns over rising costs, IT Park Project Director Aamir Ahmed has dismissed allegations of budget overruns. He clarified that the project’s funding was approved in US dollars, and fluctuations in the exchange rate have impacted its valuation in Pakistani rupees.
He emphasized that the original price stated in the PC-1 document of 2017 remains unchanged in dollar terms, and all payments continue to be processed in dollars.
Officials from the Ministry of IT affirm that the project is progressing steadily and will be instrumental in advancing Pakistan’s technology sector, fostering innovation, and strengthening the digital ecosystem in the country.
