Several major development projects in Rawalpindi have been carried over into the new fiscal year 2026-27 as they remained incomplete at the end of FY2025-26. Notable projects include the Children's Hospital, Rawalpindi Ring Road Phases I and II, Raja Bazaar and Commercial Market Beautification Project, Rawalpindi-Kahuta Road, and the Chahan Dam Water Supply Project.
Proposed schemes like Daducha Dam, Chahan Dam, Leh Nullah Sewerage and Flood Control Channel, and alternative traffic routes are expected to be evaluated in the upcoming fiscal year.
The Children's Hospital, previously known as the Mother and Child Hospital, has been under construction for 21 years and is now included in the 2026-27 budget with an estimated cost of Rs9.264 billion. However, only Rs494.402 million has been allocated for the current fiscal year, with the remaining Rs8.442 billion carried over to FY2027-28.
The Rawalpindi-Kahuta Road project, initially budgeted at Rs23.845 billion, has seen minimal progress, with only one kilometre completed. The revised estimate for this project is now Rs23.545 billion, with Rs1 billion allocated for the current year.
The 38.6-kilometre Rawalpindi Ring Road Phase I, costing Rs46.64 billion, is close to completion but not yet operational. The Thalian Interchange, costing Rs4.7 billion, is expected to be finished during the current fiscal year.
The Raja Bazaar and Commercial Market Underground Cabling and Beautification Project, starting at Rs875 million, is anticipated to be finalized this year, with the final cost to be determined thereafter.
The Asian Development Bank-supported water supply project, which will draw water from Chahan Dam, Rawal Dam, and Khanpur Dam, is projected to cost over Rs33 billion and provide Rawalpindi with an additional 17 million gallons of water per day. Completion is scheduled for December 2027.
Progress on the Daducha Dam and Chahan Dam water supply projects was stalled in the previous fiscal year, but decisions regarding their future are anticipated in FY2026-27.
