Rawalpindi The Punjab government has deferred six major infrastructure projects in Rawalpindi for the upcoming fiscal year due to financial constraints and a significant shortfall in tax collections. The affected projects include the Leh Expressway, Rawalpindi Ring Road, a sewage treatment plant, the Chahan Dam water supply scheme, Daducha Dam, and the Ghazi Barotha Dam project.
Rising costs have further strained the provincial budget. The Leh Expressway, initially planned at PKR 17 billion, is now projected to cost between PKR 80 billion and PKR 85 billion. Similarly, the sewage treatment plant’s estimated cost has doubled from PKR 30 billion to PKR 60 billion, while the Chahan Dam water supply project has risen from PKR 6.5 billion to PKR 8 billion. The Ghazi Barotha Dam project has been deemed unfeasible due to an additional PKR 100 billion in estimated costs.
The Rawalpindi Ring Road project, which has already faced multiple delays, has had its timeline revised four times in the past year. Officials now anticipate its completion in the first half of the 2025-26 fiscal year, though further delays could push it into 2026.
Additionally, the Punjab government has put a freeze on funding for new development schemes under the Rawalpindi District Council and Rawalpindi Municipal Corporation until at least June 30, 2025. However, funding allocations for Punjab Assembly and National Assembly members are expected within the next two months, with a final decision anticipated after Eid.
To address the financial shortfall, tax-collecting agencies have been instructed to intensify their efforts, with authorities warning of strict action against non-compliance.
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