Federal Govt Issues Clarification on Lahore–Sahiwal Motorway Project
The federal government has issued a clarification regarding media reports on the Lahore–Sahiwal–Bahawalnagar motorway project, addressing claims that the project was conditionally recommended in violation of fiscal rules and prime ministerial directives.
Federal Planning Minister Ahsan Iqbal clarified that during the Central Development Working Party (CDWP) meeting on January 6, 2026, the forum did not approve the full motorway project. Instead, it only recommended the already approved 18.5-kilometer section from Lahore Ring Road (Hallok) to Raja Jhang Interchange on Kasur Road for consideration by the Executive Committee of the National Economic Council (ECNEC).
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He emphasized that the remaining 276.5-kilometer alignment was not approved and that authorities were directed to conduct detailed technical feasibility and economic viability studies before any further consideration. The CDWP also instructed the Ministry of Communications and the National Highway Authority to explore public-private partnership (PPP) models due to limited fiscal space.
The planning minister added that any final approval would depend on compliance with codal requirements, alignment with the prime minister’s directives, and securing financing without affecting other priority national infrastructure projects.