ISLAMABAD: Pakistan Railways recorded more than Rs93 billion ($332 million) in revenue in 2025, marking a historic turnaround driven by safety reforms, digitisation, infrastructure upgrades and improved passenger services, according to official data.
A senior official of Pakistan Railways said the state-owned rail operator is also expecting around Rs50 billion in revenue in the first half of the 2025–26 financial year.
If the current momentum continues, Pakistan Railways is on track to cross Rs100 billion in annual revenue by the end of the financial year.
Pakistan Railways has been undergoing a broad transformation aimed at improving operational efficiency, safety and financial sustainability, after decades of underinvestment and declining service quality.
Reduction in accidents
A key reform has been the upgrading of the Safety Department into a full-fledged Safety Directorate, the official said.
According to the official, this step has led to a significant reduction in accidents. The accident rate declined from 0.09 percent to 0.04 percent, and no serious accidents were reported during the period.
In 2025, Rawalpindi Railway Station was developed as Pakistan’s first “smart station”. It has been equipped with modern surveillance cameras and advanced security systems.
The official said other major stations will be converted into smart stations in 2026, while surveillance cameras will also be installed inside trains.
Upgradation of all passenger trains
Rolling stock has also seen significant upgrades. Eight train rakes were modernised within eight months, including Shalimar Express, Pak Business Express, Lasani Express and Faiz Ahmed Faiz Express, the official said.
The target is to upgrade all passenger trains by December 2026. Major stations in Lahore, Karachi, Rawalpindi and Faisalabad have already been upgraded.
Pakistan Railways has also completed full digitisation of its internal operations. All ministerial and departmental work has shifted to e-filing, while attendance has been computerised to ensure salaries are issued only after physical attendance.
ATMs, digital vending machines and point-of-sale systems have been installed at major stations to improve passenger convenience.
Governance and asset management
Efforts to improve governance and asset management have included the recovery of 394 acres of encroached railway land during 2025. The official said all encroached railway land is expected to be recovered by December 2026.
Under the outsourcing initiative, three railway schools have been outsourced, while the remaining schools will be outsourced within six months. Eleven additional trains are also in the process of being outsourced.
Cleaning services at major stations, including Lahore, Khanewal, Multan, Karachi and Rawalpindi, have been outsourced to ensure round-the-clock cleanliness. Food quality at stations has been improved, with provincial food authorities authorised to conduct inspections at any time, the official said.
On the infrastructure front, the official said work is progressing on the Karachi–Rohri new track project, with groundbreaking scheduled for July.
The project is seen as critical for improving freight and passenger capacity on one of the country’s busiest rail corridors.
