Pakistan Railways has secured a $2 billion loan from the Asian Development Bank for the construction of a new 480-kilometre railway track between Karachi and Rohri, marking one of the largest rail infrastructure investments in decades.

According to an official statement, the project is expected to reduce travel time on the route by at least five hours and significantly enhance passenger and freight movement on the country’s main north south corridor.

Pakistan Railways has also set an ambitious revenue target of Rs1 trillion by June 2026 as part of a broader strategy to expand rail infrastructure and improve operational efficiency. Federal Minister for Railways Muhammad Hanif Abbasi said the target reflects efforts to increase freight volumes, upgrade passenger services and strengthen the overall rail network.

The Karachi Rohri rail project is scheduled to break ground in July 2026 and is expected to be completed within two and a half to three years, the statement added.

In parallel, work is progressing under the Reko Diq linked rail development plan, which envisages a 900-kilometre route from Rohri to Nokundi. The plan includes the construction of 500 kilometres of new track, rehabilitation of 400 kilometres of existing lines, and the addition of the 87-kilometre Nokundi Taftan section to improve rail connectivity with Iran.

Pakistan Railways is also expanding regional and provincial routes. A 54-kilometre People’s Train corridor is being developed in Balochistan at a cost of Rs4 billion, while eight regional routes are planned in Punjab. Punjab, Sindh and Balochistan have allocated funds for branch line operations, with discussions ongoing with Khyber Pakhtunkhwa.

On the operational side, Pakistan Railways has shifted 155 stations to solar power and reported its highest-ever daily revenue of Rs300 million. A 1,700-kilometre fibre optic network is being laid to support digitisation, while ticketing has moved to mobile platforms through the Rabta App.

The department is also implementing a Rs8.9 billion digital systems project with Frontier Works Organisation and an $85 million logistics project with DP World at Pipri Yard to enhance freight handling capacity.

Passenger services are being upgraded in phases, with security cameras, Wi-Fi and improved dining facilities to be installed on major trains by the end of 2026.

Rail connectivity initiatives with Central Asia and Iran, including the Islamabad Tehran Istanbul rail service, are also under review, subject to security clearances.