ISLAMABAD: Prime Minister Shehbaz Sharif convened a high-level meeting on Wednesday to review the affairs of the National Highway Authority (NHA), focusing on the Central Asia Regional Economic Cooperation (Carec) Tranche-III project, after the Asian Development Bank (ADB) warned that a $360 million loan could lapse next year due to delays.
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The meeting comes after the Senate Standing Committee on Communications directed the NHA to initiate the project within 15 days to safeguard the foreign funding. According to a Prime Minister’s Office (PMO) document, the meeting will be attended by Minister for Communications Abdul Aleem Khan, Minister for Planning and Development Ahsan Iqbal, federal secretaries of communications, cabinet division, economic affairs division, and railways, as well as NHA Chairman retired Capt Asad Ullah Khan and senior officials from the audit department, Public Procurement Regulatory Authority (PPRA) and PMO.
A source in the NHA said officials would inform the prime minister that all deficiencies flagged by parliamentary committees regarding the Carec Tranche-III project have been addressed. The Executive Committee of the National Economic Council (Ecnec) has also approved the NHA’s execution process, while the Islamabad High Court (IHC) has directed the authority to award the contract without delay.
Officials warned that restarting the tendering process, including bidding and approvals, could take more than a year and potentially double the project cost due to escalation.
The Senate committee’s decision followed concerns raised by the ADB over the potential lapse of the $360 million (Rs108 billion) loan earmarked for the Carec road project. Lawmakers emphasised the urgency of removing all discrepancies and flaws and directed the NHA to execute the project promptly to prevent the loss of foreign funding.
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The meeting underscores the federal government’s focus on accelerating infrastructure projects and ensuring timely utilisation of international loans amid rising development needs.