The National Highway Authority (NHA) is struggling with financial challenges, as its total debt climbs to Rs3.1 trillion. This year’s losses exceed Rs1.82 trillion. Despite having Rs5.8 trillion in assets, NHA’s revenues are only Rs54.15 billion, raising concerns about its sustainability.
In a statement, Communications Minister Abdul Aleem Khan noted that NHA’s net deficit for fiscal year 2024-25 is Rs318.03 billion, down 23% from the previous year. However, the deficit has nearly doubled since FY22, highlighting ongoing financial strain.
The minister explained that the federal government supports NHA through cash development loans in the Public Sector Development Programme (PSDP). He stressed that the deficit includes non-cash expenses, indicating that NHA is not incurring real financial losses.
A report from the Central Monitoring Unit reveals that NHA’s debt is increasing by Rs300 billion annually. The current markup obligation is Rs98 billion, expected to exceed Rs150 billion in the coming years. The Ministry of Finance has identified significant risks, including credit, market, and operational risks, putting further pressure on government finances.