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KCR revival with Chinese support

2025-07-10
KARACHI: Hopes for the revival of the Karachi Circular Railway (KCR) project were rekindled on Wednesday as Sindh Chief Minister Syed Murad Ali Shah reaffirmed his commitment to launching the important transport project in collaboration with Chinese authorities and investors.

At a meeting with Chinese Consul General in Karachi Yang Yundong ahead of his visit to Beijing in September, the chief minister discussed the progress on China-Pakistan Economic Corridor (CPEC) projects, as well as the KCR, stating that it was time to bring this long-awaited transport initiative to the people of Karachi.

The KCR project has been in the pipelinefor the past several years, facing challenges including funding, removal of encroachments on the track and delays.

The KCR was included in CPEC in December 2016 at the request of the Sindh government, and later in 2017, the project was approved by the Executive Committee of the National Economic Council.

However, the PTI government decided to revive the KCR on a BOT (build, operate and transfer) basis, approved by the public-private partnership (PPP) authority, with heavy subsidies to the private partner by the government.

Later, the change in regime led to a change in the financial structure of the project, as the incumbent Pakistan Democratic Movement-led government abandoned the PPP mode and decided to seek Chinese investment for the project under CPEC.

Consequently, work on the first two underpasses in Gulshan-i-Iqbal by the Frontier Works Organisation which had been awarded a contract for three underpasses, a flyover, and an elevated 6.4-km-long structure along with the laying of new railway tracks was stopped after the federal gov-ernment decided to execute the project under CPEC.

As per the approved plan, the KCR has a 43.2 km route, including 25.51 km elevated and 17.7 km on ground, and it would have 24 stations 13 elevated and 11 on-ground.

In his meeting with Chinese envoy Yang, which was also attended by Deputy Consul General Zhang Hao, the chief minister discussed strategic partnerships ahead of the upcoming China visit.

According to a press statement issued by the CM House, the chief minister`s discussions focused on strengthening bilateral relations, progress on CPEC projects and the long-delayed KCR.

The chief minister announced his plan to visit China in September to present a range of new PPP projects.

Among the key proposals to be presented in China are projects related to water treatment and desalination plants in Karachi.

Mr Shah emphasised that the Sindh government was in the process of establishing additional special economic zones (SEZs), and that Chinese investment and partnership in these zones would be highly valuable.

He also expressed his desire for Chinese collaboration in developing the Inclusive City in Karachi for persons with disabilities, envisioned as a model institution in Pakistan.

Mr Yang Yundong welcomed the proposals and stressed the need to finalisethe projects so that meetings could be arranged accordingly.

CM Shah suggested potential partnerships with the Shanghai and Hubei governments for the Inclusive City project, adding that Chinese expertise could help mainstream persons with disabilities in society.

He stressed the importance of forging PPPs in sectors such as healthcare, water management and agricultural development.