ULAANBAATAR, Mongolia, September 30, 2026: Federal Minister for Planning, Development and Special Initiatives Ahsan Iqbal has urged the Asian Development Bank to fast-track procedural work on the ML-1 railway modernisation project, while ADB President Masato Kanda assured full support for moving the project forward.
The exchange took place during a meeting on the sidelines of the 25th CAREC Ministerial Conference in Ulaanbaatar, where the two sides also discussed climate financing, regional connectivity, critical minerals, exports and Pakistan’s upcoming CAREC chairmanship.
Ahsan Iqbal conveyed Prime Minister Shehbaz Sharif’s message that procedural formalities for ML-1 should be completed quickly so that groundbreaking could take place at the earliest possible stage.
According to the Planning Ministry, Kanda described ML-1 as a flagship project and said ADB was committed to extending all possible support for its progress.
The minister also proposed a dedicated ADB financing window for climate adaptation and resilience in highly vulnerable countries, separate from existing country allocations.
He said countries that contribute relatively little to global carbon emissions can still face severe financial pressure when climate-related disasters strike, citing Pakistan’s experience with major floods.
Ahsan Iqbal proposed using artificial intelligence and modern data systems to identify climate vulnerabilities and direct financing more effectively.
He also suggested creating a competitive regional financing window for CAREC member countries, allowing them to jointly develop projects with cross-border impact and compete for funding.
Critical minerals and regional connectivity
The minister highlighted Pakistan’s critical minerals potential and said the country was seeking to move from raw extraction towards value-added production.
He invited joint ventures in copper, antimony, chromite and rare earths and proposed establishing a CAREC Critical Minerals Investment and Value-Chain Platform.
Ahsan Iqbal also invited businesses from CAREC countries to participate in the Pakistan Minerals Investment Forum scheduled to be held in Islamabad on November 12 and 13, 2026.
He said stronger regional rail and road links, particularly between Turkmenistan, Afghanistan and Pakistan, could improve access for CAREC countries to Gwadar Port and wider international markets.
Export target and floodwater studies
The minister and ADB president also agreed to explore joint studies on an export accelerator programme aimed at identifying product and market gaps.
The initiative would support Pakistan’s stated ambition of increasing exports to $100 billion by 2035.
They also discussed possible joint work on better storage and utilisation of floodwater.
Kanda acknowledged the proposals and agreed to undertake the proposed studies, while stressing the importance of stability, policy continuity and sustained reforms for long-term development.
He identified infrastructure and human capital as key areas where ADB is prioritising support and also highlighted the importance of education, science, innovation and emerging technologies.
Ahsan Iqbal acknowledged ADB’s support under its Country Partnership Programme and invited Kanda to attend the next CAREC Ministerial Conference in Pakistan as the country prepares to assume the CAREC chairmanship next year.
Kanda assured ADB’s support for Pakistan’s hosting of the conference.