The Ring Road cost for Rawalpindi’s long-delayed project has climbed to Rs50.4 billion, with the Punjab Planning and Development Working Party clearing the project’s third revised PC-I at a meeting in Lahore last week.
The 38.3-kilometre road was originally approved at Rs33 billion. The cost was revised to Rs47 billion in January 2026, and the Rawalpindi Development Authority had sought Rs51 billion this time. The working party settled on Rs50.4 billion.
The escalation comes even as key finishing works remain incomplete. Construction of toll plaza booths is still under way, and officials say the installation of the Intelligent Transportation System and electronic toll collection will take another two weeks.
How the Ring Road cost kept climbing
Officials attributed a 38 per cent escalation to higher construction-material prices and revised designs for the toll plaza structures. The toll plaza component alone jumped from Rs800 million to Rs1.2 billion.
The Rs50.4 billion figure does not include land acquisition. The project acquired 8,992 kanals of land at a cost of Rs6.7 billion. If that amount were added, the total project cost would stand at nearly Rs57 billion.
The road is designed for a speed of 120 kilometres per hour, with six lanes and five interchanges. Officials claim it will open to traffic in the first or second week of November, though the incomplete toll plazas cast doubt on that timeline.
A project with a troubled history
The Ring Road has been revised, investigated and downsized several times. The current 38.3km plan replaced a 68km version from the PTI era after an alleged financial scam triggered inquiries and a redesign.
Prime Minister Shehbaz Sharif laid the foundation stone of the revised project at Rawat on August 8, 2023. Since then, deadlines have slipped repeatedly while costs kept rising.
The pattern will be familiar to Rawalpindi residents. Our earlier reporting found that toll plaza construction was already running behind schedule, and the city’s signal-free corridor plan was scaled down after similar cost concerns.
What the escalation means
For taxpayers, the third revision means the road will cost more than 50 per cent above its original approval. For commuters, the question is whether the November opening claim holds.
The RDA insists the remaining toll plaza and systems work can be completed within the announced window. Past experience suggests caution: each previous deadline was followed by a fresh revision and a higher bill.
The project is part of a wider infrastructure push in the region, which includes the Rs500 billion commercial project planned for Islamabad. How the Ring Road performs on its latest deadline will be watched as a test of project management.
Frequently asked questions
What is the new approved cost of the Rawalpindi Ring Road?
The Punjab Planning and Development Working Party has approved a third revised PC-I of Rs50.4 billion, up from the original Rs33 billion.
Why did the Ring Road cost increase?
Officials cite a 38 per cent escalation in construction-material prices and revised toll plaza structures, whose cost rose from Rs800 million to Rs1.2 billion.
When will the road open?
Officials claim the first or second week of November, but toll plaza booths are incomplete and the electronic toll collection system needs two more weeks.
Does the Rs50.4bn include land acquisition?
No. Land acquisition of 8,992 kanals cost Rs6.7 billion separately; including it would take the total to nearly Rs57 billion.
