According to reliable sources from The Ministry of Planning, Development and Reforms, it is said that an internal agreement on the exact amount of financing mode is very important before asking for processing loan from China for the CPEC Rail line ML-1 Project.
Pakistan was developing false hopes for the quick start of CPEC Rail line work of $8.2bn. It would still be delayed for almost two years because of the disparity lays between Ministry of Railways and the other ministries.
This railway line project would be fully financed by China as per agreement 2017. According to Ministry of Finance, in case of independent guarantees, the $8.2bn loan will not be a part of Pakistan’s external debt. The loan will be repaid by Ministry of Railways whereas Pakistan Railways wished the loan to be acquired by central government so the responsibility of loan repayment would be on the central government.
Initially the ML-I project was planned to be finished in 2020. But the new plan reveals that it could not be finished before the year 2022. The reliable sources further tell that the actual financial modes would be decided by the CPEC committee. However the Ministry of Railway is thrusting its own proposal. The existing disparity between the ministries may result in a long delay in the beginning of this railway line project.