The federal government has allocated Rs. 365 billion for transport and communication projects under the Public Sector Development Programme (PSDP) for FY2026-27, focusing on major highway, motorway, and railway infrastructure schemes across the country.
According to the budget speech, the allocation is aimed at improving national connectivity, facilitating trade and transportation, and supporting long-term economic growth through strategic infrastructure investments.
A major portion of the funding, Rs. 100 billion, has been earmarked for the N-25 Karachi-Quetta-Chaman Highway, a key route connecting Balochistan with the rest of the country. The government described the project as vital for regional development and improved transport access.
The budget also includes Rs. 30 billion for the M-6 Sukkur-Hyderabad Motorway, a long-awaited project expected to receive financial support from the Asian Development Bank. The motorway is considered a crucial missing link in Pakistan’s motorway network.
In the railway sector, the government has allocated Rs. 25 billion for the Karachi-Rohri ML-1 Section, with construction activities expected to begin during the next financial year. The project forms part of broader efforts to modernize Pakistan’s railway infrastructure.
Additionally, Rs. 2 billion has been allocated for the Thar Coal Connectivity Project, which aims to strengthen transportation links between Thar’s coal reserves and the national logistics network.
The government further announced that more than Rs. 93 billion has been set aside for provincial transport infrastructure projects to improve road connectivity and accessibility across different regions of Pakistan.
Officials stated that these investments are expected to boost economic activity, improve freight movement, reduce travel times, and support industrial and commercial growth nationwide.
