ISLAMABAD: The federal government has approved the construction of three sections of the Balochistan Expressway (N-25), spanning 692 kilometers, at an estimated cost of Rs415 billion. The government will fund the project through an Rs8 per liter levy on petrol and high-speed diesel, which it imposed earlier this year.
Officials will now present the project to the Executive Committee of the National Economic Council (ECNEC) for final approval.
Once complete—within at least three years—the dual carriageway will directly link Quetta to Karachi, improving connectivity and boosting economic growth in the region.
Deputy Chairman of the Planning Commission and Federal Minister Ahsan Iqbal chaired the Central Development Working Party (CDWP) meeting, where members reviewed project details and addressed questions about road alignment and land acquisition.
The CDWP can approve projects up to Rs7.5 billion and refers larger projects to ECNEC, currently chaired by Deputy Prime Minister Ishaq Dar.
During the meeting, the CDWP also recommended dualizing the 278-kilometer Karachi-Quetta-Chaman route at an estimated cost of Rs183.4 billion. Although the government allocated Rs33 billion for this fiscal year, the project faces challenges due to low initial funding. Officials estimate that the project will need Rs75 billion annually over the coming years to stay on schedule.
The CDWP also cleared the Rs99 billion dualization of the 332-kilometer Khuzdar-Kuchlak section of the N-25. With 52% of the work already completed, authorities expect to finish the remaining portion within two years. The government has set aside Rs34 billion for this project in the current fiscal year.
Another section, the 104-kilometer Karoro Wadh–Khuzdar–Chaman stretch, will undergo dualization at a cost of Rs133 billion. The government allocated Rs33 billion for the current year and will need to allocate Rs50 billion annually over the next two years to complete it on time.
Earlier this year, Prime Minister Shehbaz Sharif imposed the Rs8 per liter levy to support major road infrastructure projects. Although critics argued that the move increased the financial burden on consumers, the Prime Minister defended the decision, saying the projects would improve safety and unlock Balochistan’s economic potential.
The CDWP flagged concerns over road alignments, revised cost estimates, and land acquisition processes. Authorities must resolve these issues before ECNEC can grant final approval.
The federal government has allocated Rs1 trillion for the Public Sector Development Programme (PSDP) this year, with Rs210 billion earmarked for Balochistan-based projects.