PESHAWAR: The provincial government of Khyber Pakhtunkhwa and China Communication and Construction Company Ltd agreed to a $1.6 billion Circular Railway Project, Inter Linking Peshawar, Nowshera, Mardan, Charsadda with future expansion to Swabi and a speedy service from Peshawar to Islamabad at Chief Minister’s (CM) Secretariat Peshawar.China Communication and Construction Company Ltd is a major construction company in Chinese public sector with expertise in rail communication and infrastructure development that has undertaken and completed major projects in China and other countries. “It is a trillion multi dollars entity,” said a handout issued on Wednesday.A memorandum of understanding (MoU) was signed between the Government of Khyber Pakhtunkhwa and China Communication and Construction Company Ltd regarding Inter Districts Circular Railway Project in Khyber Pakhtunkhwa. Special Assistant on Transport Malik Shah Muhammad Wazir and China Communications & Constructions Corporation, Ltd Country Head Mr. Waing Xiaoping formally signed a MoU at a ceremony held at Chief Minister Secretariat Peshawar.CM Special Assistant for Law, Arif Yousaf, Khyber Pakhtunkhwa Economic Zones Development and Management Chairman Ghulam Dastagir Akhtar and other concerned officers were also present.According to the memorandum China Communication and Construction Company Ltd shall conduct a feasibility study inclusive of concept design, cost estimation and will prepare a technical and financial proposal for the provincial government regarding the development of the project. It would also provide technical specification to government for the soil investigation and survey. The government of Khyber Pakhtunkhwa would be responsible for obtaining all approvals permits, land rights or other necessary permissions to enable the company to complete the feasibility work. The government would facilitate the company to fulfill its obligations and responsibilities by providing available relevant local technical information and other necessary documents available in respect of project.The financial model for the project has to be agreed between the parties prior to commencement of the project through an agreement to be signed after fulfilling all legal formalities.The speed of the train under the project will be 2,200 Km/hour. It is a major step by the provincial government towards a mass transit integrating the major cities of the province. The project would have the space to be further expanded to areas and commercial hubs and industrial zones throughout the province. The project would resolve the transport problems and would also create jobs in the province contributing to it economy.