18 near-completion projects in FY26L NHA allocated Rs20.5bn against Rs56.9bn demand
According to NHA documents, in the Public Sector Development Programme (PSDP), the authority requested 56.9 billion for projects which completed by almost 70 percent, so the early completion of these projects would be ensured.
Among these projects for land acquisition affected properties compensation and relocation of utilities for the construction of 959km Karachi-Lahore Motorway (KLM) Rs4.25 billion was proposed in the PSDP, whereas, only Rs500 million was approved.
For improvement, upgradation and widening of Jaglot-Skardu Road (S-1, 167 km) against the proposal of Rs5.3 billion only Rs1 billion was approved.
For the construction of motorway from Burhan/Hakia on M-1 to DI Khan Rs500 million allocated against the request of Rs2.57 billion. For the construction of two-lane Highway from Basmia to Khuzdar (length 106 km) Rs2.5 billion was allocated against the demand of Rs7.23 billion. For the construction of overhead bridge at Imamia Colony Railway Crossing Shahdra revised Rs200 million was allocated against the request of Rs863 million.
Among other near completion projects of strategic nature construction of Gwadar-Ratodero Road Project (M-8) Rs3 billion was allocated against the demand of Rs4.94 billion. For the rehabilitation and upgradation 54.80 km long Awaran Jhalijao road and dualisation and improvement of Old Bannu Road, allocation of Rs1.04 billion and Rs988 million was made as per of their 100 percent demand.
Construction of Kot Pindi Das Interchange on Motorway M-2 in District Sheikupura also gets the full allocation of Rs251 million as per the demand.
Dualisation of Indus Highway (N-55) Sarai Gamila to Kohat Section also gets the full allocation of Rs1.5 billion as per demand.
Construction of bridge on River Ravi at Syed Wala also gets the full allocation of Rs324 million against the demand of the same amount.
Copyright Business Recorder, 2025
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However, PPPs have largely been promoted only as an alternative mode of financing whereas they might actually be an enabling tool to deliver greater efficiencies, innovation and value for money-normally referred in Pakistan as a game changer. The prime minister, Shehbaz Sharif, has recognised the successful implementation of PSDP under the leadership and oversight of the federal minister for planning, development and special initiatives, Professor Ahsan Iqbal. He gave this credit due to the fact that PSDP is being strategically used for ensuring development of much-needed infrastructure but also serving to provide a clear vision of development priorities and growth path of the country. It is commendable, however this should be supplemented or complemented in the PSDP with addition of new models of financing for PPP that will extend the frontiers of fiscal efficiency even more, crowd in additional private funding and lead to institutional reform. A detailed report of 2023 published by the Pakistan Institute of Development Economics (PIDE), Reforming the Federal Public Sector Development Programme, presented a strong case of an urgent reform was established. The report promoted a portfolio cleaning strategy, which advised a reduction of the size of PSDP by 20 to 25 percent and the removal of almost half of all projects underway in this regard. The study indicated that many of such projects are either not backed by institutions or have become low-priority schemes that involve subjecting of the national funds on them without receiving a corresponding reward. PSDP resources are often spread thin over too many unviable projects, thus limiting impact and leading to cost and time overruns. Now this lack of efficiency has crippled the argument in favor of seeking alternative forms of developmental financing only. Beyond financing, frame-work has to be energized and implemented quickly. The greatest of them is the Public-Private Partnership (PPP) model that provides a practical and performance-oriented system of project delivery. PPPs, by utilising the privately raised funds, technical excellence, and creativity can aid Pakistan to make important infrastructure, enhance social amenities, even bring in Foreign Direct Investment as a complement and decrease the pressure on the exchequer. The federal government, to its credit, has achieved certain success in institutionalizing the PPP model with the setting up of the Public-Private Partnership Authority (P3A) across provinces and federal government. Since its inception, P3A has developed a project pipeline of PKR 2.5 trillion. Its priorities however are limited to federal infrastructure projects such as roads, bridges and transportation corridors. 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18 near-completion projects in FY26: NHA allocated Rs20.5bn against Rs56.9bn demand
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18 near-completion projects in FY26L NHA allocated Rs20.5bn against Rs56.9bn demand
ISLAMABAD: For 18 near completion projects, National Highways Authority (NHA) gets a budgetary allocation of Rs20.5 billion against the demand of Rs56.9 billion in FY26. According to NHA documents, in the Public Sector Development Programme (PSDP), the authority requested 56.9 billion for projects which completed by almost 70 percent, so the early completion of these projects would be ensured. Among these projects for land acquisition affected properties compensation and relocation of utilities for the construction of 959km Karachi-Lahore Motorway (KLM) Rs4.25 billion was proposed in the PSDP, whereas, only Rs500 million was approved. For improvement, upgradation and widening of Jaglot-Skardu Road (S-1, 167 km) against the proposal of Rs5.3 billion only Rs1 billion was approved. For the construction of motorway from Burhan/Hakia on M-1 to DI Khan Rs500 million allocated against the request of Rs2.57 billion. For the construction of two-lane Highway from Basmia to Khuzdar (length 106 km) Rs2.5 billion was allocated against the demand of Rs7.23 billion. For the construction of overhead bridge at Imamia Colony Railway Crossing Shahdra revised Rs200 million was allocated against the request of Rs863 million. Among other near completion projects of strategic nature construction of Gwadar-Ratodero Road Project (M-8) Rs3 billion was allocated against the demand of Rs4.94 billion. For the rehabilitation and upgradation 54.80 km long Awaran Jhalijao road and dualisation and improvement of Old Bannu Road, allocation of Rs1.04 billion and Rs988 million was made as per of their 100 percent demand. Construction of Kot Pindi Das Interchange on Motorway M-2 in District Sheikupura also gets the full allocation of Rs251 million as per the demand. Dualisation of Indus Highway (N-55) Sarai Gamila to Kohat Section also gets the full allocation of Rs1.5 billion as per demand. Construction of bridge on River Ravi at Syed Wala also gets the full allocation of Rs324 million against the demand of the same amount. Copyright Business Recorder, 2025
