ECC approves revival of Karachi Circular Railways

ISLAMABAD: The Economic Coordination Committee (ECC) of the Cabinet here on Tuesday approved the waiver of on- lending charges to Karachi Urban Transport Corporation for the project “Revival of Karachi Circular Railways (KCR) as modern commuter system”.

The Ministry of Railways moved the summary in this regard seeking the approval of the ECC for waiver of on-lending charges to Karachi Urban Transport Corporation for the project Revival of Karachi Circular Railways.The ECC which met here under the chairmanship of Minister for Finance and Economic Affairs Dr. Abdul Hafeez Shaikh was informed that Japan International Cooperation Agency (JICA) has already agreed to provide 93.5pc ($2.4 billion) of the estimated cost through soft loan at a markup of 0.2pc payable in 40 years including 10 years grace period.

The remaining 6.5pc ($169.6 million) will be borne by the Ministry of Railway (60pc equity), Government of Sindh (25pc equity) and the City District Government Karachi (15pc equity); the stakeholders of KUTC as per their share.The track of the KCR will be 86 km long with 27 stations to be built around the city. This important project will be a milestone in improving the quality of life of the citizens.

The ECC also approved the summary with special appreciation for the Ministry of Railways, the Government of Sindh and Karachi City Government for their efforts to get approved the most economic and viable project of Circular Railway for Karachi.The ECC also discussed various agenda items of national importance. The following decisions were taken in the meeting;At the outset of the meeting the ECC members offered special prayers for departed soul of Senior Minister of the KPK Government Mr. Bashir Bilour who lost his life in a terrorist attack in Peshawar recently.

The ECC prayed to Almighty God for resting the departed soul in eternal peace and for granting courage to the bereaved family to bear this precious loss.Ministry of Railways moved a summary seeking the approval of the ECC for waiver of on-lending charges to Karachi Urban Transport Corporation for the Project “Revival of Karachi Circular Railways as Modern Commuter System”.Japan International Cooperation Agency (JICA) has already agreed to provide 93.5pc (US$2.4 billion) of the estimated cost through soft loan at a markup of 0.2pc payable in 40 years including 10 years grace period.

The remaining 6.5pc (US$169.6 million) will be borne by the Ministry of Railway (60pc equity), Government of Sindh (25pc equity) and the City District Government Karachi (15pc equity); the stakeholders of KUTC as per their share.The track of the KCR will be 86 km long and 27 stations will be built around the city.This important project will be a milestone in improving the quality of life of the citizens.

The ECC approved the summary with special appreciation for the Ministry of Railways, the Government of Sindh and Karachi City Government for their efforts to get approved the most economic and viable project of Circular Railway for Karachi.The ECC also approved a summary by Ministry of Railways for changes in the composition of Business Express.Ministry of Railways submitted a summary for ECC approval back in July 2012. – Brecorder