Improving railways
THE upgradation of the Main Line-1 project being executed under the CPEC initiative is crucial for Pakistan’s economy, as recently pointed out by Prime Minister Imran Khan while addressing the launch of a scheme to improve the 127-year-old Hassan Abdal railway station. Mr Khan spoke about the social and economic advantages of the ML-1 project, pointing out that the $6bn scheme would kick-start massive business activity and generate huge employment opportunities. More important, it is supposed to help industrialise KP and modernise the existing, collapsing railway infrastructure from Karachi to Peshawar and Taxila to Havelian. Once it is complete, it would enhance the railway’s share in the passenger and freight traffic from the present 4pc to 20pc, and offer affordable, safer and faster travel to the middle class. Besides, it will substantially cut the cost of moving cargo up and down the country.
The project’s importance for Pakistan and the future survival of the railway aside, a lot depends on how the Chinese, who are paying 90pc of the cost of the scheme (in the shape of loans), want to proceed and at what pace. As things stand, the Chinese have already slowed down work on almost every CPEC-related scheme because of multiple reasons, the strained relations of Beijing with Washington and the spread of the Covid-19 pandemic being the most important ones. But that is not all. There are indications that the ML-1 project might already have hit snags. For example, the government was scheduled to publish invitations of international bids almost two months back to ensure that work on the seven-year project could start from next year. It hasn’t done so until now because of two reasons. Railway officials privately say the two countries have yet to agree on the proposed cost of the capital to be provided by Chinese banks as Islamabad is asking for a discount. But that is the smaller problem. Apparently, the Chinese are not happy with the ‘irresponsible’ statements given by some important government officials considered close to the prime minister and allegations of corruption in infrastructure schemes such as the Lahore metro launched under the PML-N government. It is advisable that government officials avoid issuing statements that can cause misunderstandings between the two countries. If they suspect corruption or wrongdoings in any CPEC project, the government should investigate it and punish those responsible for it instead of indulging in unseemly politicking.
Published in Dawn, November 10th, 2020