Pakistan, China Agree on $7 Billion ML-1 Railway Financing Plan and CPEC Action Roadmap
Pakistan and China have agreed to form a consortium of international and domestic partners to finance the $7 billion Mainline-1 (ML-1) railway project. The development comes alongside the approval of a comprehensive four-year action plan (2025–2029) under the second phase of the China-Pakistan Economic Corridor (CPEC).
The announcement was made by Planning and Development Minister Ahsan Iqbal, who highlighted the outcomes of Prime Minister Shehbaz Sharif’s recent visit to China. According to the minister, the financing consortium will include the Asian Development Bank (ADB), Asian Infrastructure Investment Bank (AIIB), China, and Pakistan. The project covers a 1,700-kilometer railway line from Karachi to Peshawar.
Minister Iqbal also confirmed that China has assured support for the ML-1 as well as for the Karakoram Highway. Negotiations with partner institutions are expected to conclude within the coming month.
He further noted that Pakistan and China have finalized a four-year action plan designed to strengthen cooperation under CPEC’s second phase. The roadmap focuses on enhanced political coordination, trade expansion, security collaboration, and people-to-people exchanges. Key areas such as agricultural modernization, industrial growth, and third-party participation will be prioritized.
The next meeting of the Joint Cooperation Council (JCC) on CPEC will be held on September 26 in Beijing to finalize additional details.
Minister Iqbal described the new plan as an important step toward deepening bilateral relations, reflecting the long-standing partnership between Pakistan and China.
