Pakistan Railways Faces Rs. 1.1 Billion Losses Annually Due to Fare Evasion
Pakistan Railways is struggling with major financial and operational setbacks, with fare evasion alone causing annual losses of around Rs. 1.1 billion ($3.5 million), Railways Minister Hanif Abbasi revealed during a press conference in Islamabad.
According to the minister, the 2023–24 Annual Report highlights that despite new monitoring systems, losses from unpaid fares remain high. “The figures show that fare evasion continues to cost us nearly Rs. 1 billion every year,” Abbasi said.
Decline in Services
Pakistan Railways, one of the country’s oldest state enterprises, has seen a steady decline in passengers over recent years, largely due to competition from road and air travel. Its freight operations are also facing challenges as businesses increasingly shift to road transport for faster delivery.
Measures to Curb Losses
The minister warned that strict penalties, including imprisonment, will be imposed on fare evaders and any railway staff found complicit. The vigilance department has been directed to intensify checks and tighten enforcement across the network.
Modernization Plans
Despite these challenges, modernization efforts are underway. Over 200 new locomotives are currently being manufactured at the Islamabad Carriage Factory to replace aging engines and enhance efficiency.
The government is also in talks with the Asian Development Bank to secure financing for the Karachi–Rohri rail line upgrade, a 480-kilometer project aimed at improving reliability. Additional track improvements are planned on the Lahore–Rawalpindi route to enhance safety and cut travel times.
Expert Opinion
Transport experts suggest that while infrastructure upgrades are important, Pakistan Railways must also focus on institutional reforms, reduce corruption, and deliver better customer service to win back public trust and regain competitiveness in the transport sector.
