Pakistan Railways has achieved a major milestone in its revenue enhancement drive by outsourcing the commercial management of five passenger trains to private sector partners for Rs10.75 billion, marking one of the most successful public-private partnership initiatives in the organization’s history.
According to official sources, the move is expected to substantially increase the revenue of Pakistan Railways while improving the quality of services and facilities available to passengers across the country.
Officials said that before the outsourcing arrangement, the same trains were generating significantly lower earnings. Under the new agreements, Pakistan Railways is expected to secure much higher revenues, strengthening its financial position and supporting its ongoing modernization and reform agenda. As part of the initiative, Awam Express, Millat Express and Karakoram Express will be operated under the Public-Private Partnership (PPP) model. Railway authorities believe that private sector participation will help improve operational efficiency, passenger comfort and service delivery. In addition, Mianwali Passenger and Narowal Passenger trains have also been outsourced to private partners. The authorities expect the new management structure to bring better onboard facilities, improved maintenance standards and enhanced customer services. Federal Minister for Railways Muhammad Hanif Abbasi lauded the efforts of the Chief Commercial Manager (CCM) and the commercial team for successfully completing the outsourcing process. He termed the achievement a significant step towards making Pakistan Railways a financially sustainable and customer-oriented organization.