ISLAMABAD: The Auditor General of Pakistan has revealed that the railway department has incurred a loss of over Rs 300 billion in the last nine years. The report was sent to a sub-committee of the federal cabinet.
According to the Forensic Audit Report of the Auditor General of Pakistan, the total operational deficit of the Railways during 2011-2020 was estimated at Rs. 333.81 billion. The government’s subsidy of Rs 361 billion has been used to reduce the deficit.
The federal government had given a total subsidy of Rs 361.55 billion to the railway department. According to the report of the Auditor General of Pakistan, the subsidiaries of the railways are the biggest burden on the operational system. The dues could not be paid.
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Earlier on June 3, 2014, Kashmir Railway Limited Company was formed for Muzaffarabad Islamabad Rail Link which failed to meet the target for five years.
According to the report, under the public-private partnership, the railway department owes Rs. 3.5 billion to five contractors over the years and even without recovery, the railway department is facing a deficit.
