Pakistan Railways and ADB hold second pre‑market consultation for ML‑1 Karachi‑Rohri upgrade
The second pre‑market meeting for the $2.5 billion Karachi‑Rohri segment of the Main Line‑1 rail upgrade attracted 134 local and foreign firms, signalling strong market interest and paving the way for procurement and financing.
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Desk Analysis
How This Affects the Exchange
Sector Effect
Positive · Buy bias
Transport, Steel and Cement sectors stand to benefit from the ML‑1 upgrade, creating a Buy bias on related tickers.
Sectors & Direction
Desk read
Desk call: Buy bias · Positively affected
- TransportPositively affected
- SteelPositively affected
- CementPositively affected
- EconomyPositively affected
Companies
Mentions in This Briefing
Sectors: Transport, Steel, Cement, Economy — Positive · Buy bias. PSX tickers: MEBL, MCB, UBL, HBL, BAHL, FABL. Transport, Steel and Cement sectors stand to benefit from the ML‑1 upgrade, creating a Buy bias on related tickers.
Full Story
Open on Dawn## Consultation Overview
Pakistan Railways, backed by the Asian Development Bank (ADB), concluded the second pre‑market consultation for the Karachi‑Rohri stretch of the Main Line‑1 (ML‑1) upgrade on Tuesday. A total of 134 participants – ranging from national and international contractors to consultants, equipment suppliers and manufacturers – took part.
## Project Significance
The ML‑1 upgrade is a flagship initiative of the federal government under Prime Minister Shehbaz Sharif, aimed at modernising Pakistan’s railway network, enhancing safety, efficiency and reliability, and supporting economic growth. The first phase, valued at $2.5 billion, covers a 480 km corridor between Karachi and Rohri/Sukkur.
## Procurement and Feedback
During the meeting, attendees discussed technical, commercial and logistical aspects of the project. Their feedback will help shape the procurement strategy, ensuring a competitive and transparent process that benefits the government, development partners and the public.
## Project Scope and Timeline
Civil works are slated to start in January 2027 and are expected to last two to three years. The scope includes: - Laying new up‑ and down‑tracks across the Keamari‑Landhi‑Hyderabad, Hyderabad‑Nawabshah and Nawabshah‑Rohri sections - Construction of bridges, culverts, stations, freight yards and related buildings - Installation of fencing, signalling and telecommunications systems - Upgrading the Walton Academy and providing project management consultancy services
## Financing Arrangements
The Asian Development Bank will primarily finance the project, with co‑financing under discussion with the Asian Infrastructure Investment Bank (AIIB), the European Investment Bank (EIB), the World Bank and the Islamic Development Bank (IsDB).
## Expected Economic Impact
The upgraded corridor will handle about 76 % of passenger and 98 % of freight traffic, linking major population centres and industrial zones, thereby boosting logistics efficiency and stimulating sectors such as transport, steel and cement.