Introduction:

Transport sector plays a

Significant role in the socio-economic development
Of the country. An efficient transport system with
Modern infrastructure is considered an economic
Factor of production. The development of a countrys
transport system is a pre-requisite to its economic growth.
Economic development requires a highly organized
system of transport. . If we economically compare
advanced countries with backward countries, we would
find a better system of transport in advanced countries.
Definition:
The means used for carriage of goods and
passengers from one place to another place known as
transportation.
Modes of transport:

Roads
Railways
Seaways
Airways

Transport in Pakistan:
Transport in Pakistan is extensive and
varied but still in developing stage and serving a population of
170 million people. Construction of new airport, roads were and
railways have led to an employment boost in Pakistan.
Road transport in industrialized, developing and transition
economics continues to grow at 1.5 to 2.0 times growth of GDP.
This is significantly higher than the rate of growth of the
governments tax revenue making it increasingly difficult for
governments to full-finance the needs of the road sector
maintenance, upgrading, modernization of outdated networks
and expansion through the consolidate fund. At the same times,
countries all over the world are realizing that roads are big
business. Governments are responding to this state of affairs in
three main ways:
1. By tolling their express way network
2. By restructuring their road agencies to put them on a more
commercial basis
3. By financing the balance of the untold network

Roads:
Roads are the most important segment of
infrastructure in any developing country. The rapid development
and economic well-being is dependent on the road networks.
The road network in Pakistan carries over 96 percent of inland

freight and 92 percent of passenger traffic and are undoubtedly

the backbone of the economy. About 63% of our population
lives in villages, the topography of the region which consist
upon hilly mountainous areas, far flung agriculture lands and the
productive resources are scattered all over the country. Roads
provide easy and efficient means of transportation. The total
road-network in Pakistan is about 263,415 kms. Consists of
9,324 kms. (3.53%) of National Highways and 2,280 kms of
Motorways (0.87%).Strategic roads and Expressways contribute
262 kms and 100 kms respectively i.e. (0.10%). The rest of the
road network contains provincial highways and the roads under
respective local administration e.g. Cantonment Boards,
Municipal Corporations, Local Development Authorities, etc.

National highway authority:

Transport sector in general and road infrastructure
in particular has profound and enduring effect on the economic
growth of Pakistan. NHA is contributing a vital role in
improving the quality of Pakistans road network which entails
in improving the quality and standard of life of the population.
Pakistan is virtually bisected into two halves by River Indus.
Eastern segment is historically well developed. To bring the
Western segment at par with the Eastern, NHA is improving
East-West connectivity through construction of numerous
bridges across river Indus and also across rivers Jhelum,
Chenab, Ravi and Sutlej. The present NHA network comprises
of 33 national highways, motorways, expressways, strategic
roads. Current length of this network is 12131 kms. NHA
existing portfolio consists of 79 development projects costing Rs
557 billion. GOP allocated Rs. 50.7 billion for NHAs
development projects in PSDP 2012-13. The amount included

Rs. 26.1billion foreign currency and Rs. 24.6 billion in local

currency components.

Ongoing Projects
Some significant ongoing projects are:
1. Faisalabad Khanewal Multan Motorway (M-4)
2. Sehwan-Ratodero Additional Carriageway (N-55)
3. Sukkur-Shikarpur-Jacobabad (N-65)
4. Qila Saifullah Zhob (N-50)
5. Peshawar Northern Bypass (E-2)
6. Khushalgarh Bridge (N-80)
7. Qazi Amri Bridge across River Indus

Completed Projects:
Some major completed projects include the
Following:
1. 6 Interchanges on Inner Ring Road Multan
2. 4-lane Underpass at Wah Gate, Texila
3. Multan Muzaffargarh (N-70, ADB Assisted)
4. Larkana-Naudero-Lakhi Road
5. Sakrand-Benazirabad Dual Carriageway
6. Hyderabad Badin Road to Mir Wah Sanjar
Chang Road
7. Ghazi and Chuch Interchanges on Motorway (M-1)
8. Pleri-Gabd Section of Makran Coastal Highway
9. Hub-Uthal Section of National Highway (N-25)

S.NO

Province

Kms

Punjab

109

Sindh

148

Khyber Pakhtunkhwa 145

Balochistan

208

Total

610

NHA has completed 8 major river bridges during the last five
years. Five major bridges on river Indus and one each on rivers
Ravi and Chenab are ongoing and five bridges are also planned
to be constructed in near future. NHA has already constructed
three segments of Trans-Pakistan Motorway network viz M-1
(Peshawar-Islamabad), M-2 (Islamabad-Lahore) and M-3 (Pindi
Bhattian-Faisalabad) on a virgin corridor bringing remote areas
on mainline and boosting economic activities. NHA is now
constructing M-4 (Faisalabad-Khanewal-Multan).

Metrobus at Lahore: To provide safe, efficient and

comfortable urban transportation system in major cities of
Punjab; Government of the Punjab has established Punjab

Metrobus Authority (PMA) for construction, operation and

maintenance of mass transit system with the technical support of
M/s Ulasim a Turkish based Company. The Metrobus System
Line-1 from Gajjumata to Shahdara, in Lahore, is the first
initiative of PMA. Metro Bus Service has been started from
February2013 which facilitate the passengers on 27 stations. The
project cost is Rs.30 billion, 45 articulated buses are running on
the 27 kms long corridor starting from Gajjumata to Shahdara.
About 1500 persons got direct jobs and 1, 20,000 passenger are
using Metrobuses every day.

Railways:
An efficient transportation system plays a vital role in the
economic development of a country. The government vision for
economic growth and poverty reduction requires massive
investment and development of infrastructure for sustainable
economic growth. Pakistan Railways has a definite edge over
roads for long haul and mass scale traffic movement both for
passengers and freight in addition to providing a safe,
economical, and environment friendly mode of transport.
Throughout world history, rail traffic has played an important
part in the development and economic prosperity of nations.
Railways are a valuable source of employment while generating
large amounts of revenue to the benefit of the economy. An
effective railway system facilitates commerce and trade, reduces
transportation costs (monetary and non-monetary), and promotes
rural development and national integration while reducing the
burden on commuters. Pakistan Railways was the primary mode
of transportation in the country till the seventies. However,

owing primarily to a diversion of already scarce resources

towards the expansion of the road network, the performance and
condition of Pakistan Railway declined and its share of inland
traffic reduced from 41 percent to 10 percent for passenger and
73 percent to 4 percent for freight traffic. Pakistan Railways has
introduced 9 new train services in order to facilitate passengers
as well as freight customers. Pakistan Railways has introduced 9
new train services in order to facilitate passengers as well as
Freight customers.
S.No

Trains Section

i)

Thar Express Karachi-Zero

Point
Margala Express Lahore22-05-2006
Rawalpindi
Marvi Express Mirpurkhas07-06-2006
Khokhropar
Sindh Express Lahore-Karachi 24-07-2006

ii
iii
iv)
v)
vi)
vii)
viii)
ix

Buraq Express RawalpindiKarachi

Peshawar Express PeshawarRawalpindi
Pakistan Express RawalpindiKarachi
) Jinnah Express KarachiRawalpindi
Sir Syed express Rawalpindi

Date of
Commencement
18-02-2006

14-08-2006
15-12-2006
16-12-2006
08-01-2007
. 08-01-2007

The PDSP allocations for the Railway sector were increased

from Rs 3. Billion during 2000-01 to Rs 11.642 billion in 200708. Major development schemes include track renewal of 240
KM of rails and 220 KMs of sleepers planned for main line from
Karachi- Khanpur. Additionally, 20 units of locomotives in
CKD condition received from China will be manufactured at the
Pakistan Locomotive Factory in Risalpur. This will complete the
scheme for Procurement. Manufacture of 69 DE locomotives.
The scheme for recomissioning of 55 DE locomotives will be
completed in the year 2007-08 as well. 655 CKD wagons
received from China will be manufactured at Pakistan Railway
Workshop in Moghalpura thus completing the scheme for
Procurement/Manufacture of 1300 high capacity wagons.
Rehabilitation of 400 old coaches is underway with 130 coaches
expected to be rehabilitated in this fiscal year. Another on-going
Development project is the next phase in the doubling of tracks
from Khanewal- Lahore (246 KM). In addition to these
development projects, the following feasibility studies have also
been sanctioned to explore future prospects and initiatives:
High Speed Double Track between Lahore and
Rawalpindi.
Rail link from Havelian to Pak-China Border.
Doubling of track and realignment between
Shahdara-Rawalpindi.
Doubling and Realignment of track between
Golra Sharif-Peshawar.
PROBLEMS OF RAILWAYS:

1. The trains are generally late and passengers are finding

inconvenience. Pakistans Railway is operating on single track
system while double track system is limited.
2. There is an act shortage of locomotives and the rolling stock
in possession of railways is odd and outdated.
3. Railway organization is over staffed, which is a financial
burden and effects position of railways.
4. Pilfrage of goods in transit has become a common feature.
Due to dishonesty railways has to pay compensation in
thousands.
5. Corruption and misutilisation of funds have also affected the
development projects.
6. The wages paid to workers are low. Majority of workers form
hand to mouth.
7. Inadequate facilities have been provided to passengers.
8. There is a shortage of funds to increase the number of
locomotives, to start development projects and to provide
facilities to passengers.

Civil Aviation Authority (CAA):

Civil aviation plays an important role in
the development of a countrys economy by providing fast and
efficient access between different parts of the country as well as
different destinations around the world. Private participation on

this front has been encouraged through concessions and

incentives for development of airports and airlines to increase
the availability of air transport services both domestically and
internationally. It is important to construct and maintain airports
in the country to facilitate economic activity in an increasingly
globalized world. The construction of the new Islamabad
international airport (NIIA) is expected to play a major role in
the national aviation sector. The airport will be developed by
The Civil Aviation Authority (CAA) on a self-finance basis with
an estimated cost of Rs. 30 billion on 3200 acres of land, and is
expected to be completed by December 2010. The project has
Been designed with all the essential facilities to handle an
annual traffic of 9 million passengers as well as 100,000 metric
tons of cargo.

PIA: Efficient, swift and developed transportation system

accelerated the rate of economic development. Like other means
of transport Air transport has got importance and development
of air transport has become the need of the hour. Air transport
has played a role of reducing distances Modern Air transport
system has brought radical change in economic political, social
and cultural relations between the various countries of the world.
It is also providing facility to thousands of pilgrimage to
perform Umrah and Hajj. In case of natural calamities it is
facilitating the supply of food and medicines. It has become
popular and need of the hour for businessmen, trades executives
and tourists.

In 1955 PIA was established with the merger of orient airways,

PIAs fleet consisted of 47 aircraft of different.

Ports and shipping:

1. Karachi port Trust:
Karachi port has made a steady
and continuous process in its various sectors to boost the
national economy. It has established an annual cargo handling
record of over 26.0692 million with zero waiting time of vessels
in 2001-02.
The KPT is committed to provide facilities at par with the
modern age requirement.

2. Port Qasim:
The performance of port Qasim Authority has been impressive
during July-March 2002-03. A cargo volume of 12032 million
tons was handled during the period under review, as against 9.44
million tons during the corresponding period of last year,
showing an increase of 30.5 %

3. PAKISTAN NATIONAL SHIPPING CORPORATION

(PNSC):
The Government of Pakistan nationalized shipping in January,
1947, with the takeover of 0 % private shipping companies and
one subsidiary of a private limited company. Two boards of

management were appointed, one for the management of taken

over companies, Pakistan Shipping Corporation and the other
for the National Shipping Corporation, which was already in the
public sector.
Pakistan National Shipping Corporation owned 22 vessels, with
a net weight of 352,716 tons. The Corporations operated its
linear services from Pakistan to USA. Canada/East Coast, U.K
South Asia and Bangladesh.
The Corporation operated its liner services with owned vessels,
bulk shipment of wheat, fertilizer, rock phosphates and iron
ore/coal were handled largely through foreign shipping
companies.
The PNSC is the National Flag Carrier of Pakistan. Its main
objective is to maintain a commercially viable sea link between
Pakistan and its major trading partners. It also helps in
maintaining and stabilizing freight rates charged by the other

4.Gawadar Port
Gwadar Port was inaugurated on the 20th March, 2007 and
started commercial operations from March2008. Government
has decided to import all bulkcargo comprising of Urea, Wheat
and Coal through Gwadar Port. During the period July-March
2012-13 Urea 341.0 tonnes was handled. The total cargo
handled at the port up till now is 5.0 million tonnes Detail of
Ship arrived and Cargo handled is given in
the following table: carriers and provides a strategic link in the
case of emergencies.

Introduction:
Communication plays an important role in the
economic and cultural development of a country. Pakistan
enjoys good international telecommunications links via satellite.
Definition:
The means which are used to transfer information from one
place to other place is called as communication.
Means of communication

Pakistan has following means of communication.

Postal service
Radio
Television
Telecommunication
Information Technology
Postal Service

Pakistan Post is in the process of computerizing and reengineering of its services to ensure that best possible quality
services are available to the customers. Various measures have

been taken to streamline the Post Office System on modern lines

and emphasis is given on the use of Information Technology.
The Post office is a Federal Government entity which provides
postal facilities through a network of 12828 (2178 urban and
10650 rural) post offices across the country. The department is
providing various traditional postal services to the consumers at
a reasonable price. It also provides the facility of life insurance,
payment of military pensions, collection of motor vehicle tax,
renewal of arms and driving licenses etc.
Radio
Pakistan Broadcasting Corporation (PBC) has played a pivotal
role in promoting national interest by providing information,
entertainment and education to audiences at home and abroad in
35 languages (19 regional, 1 sub-regional, 16 foreign) from 24
Radio Stations and 5 FM Stations.
Television
First television station was introduced in Pakistan by a
private television company, in November 26, 1964. In June
1967, it was converted into private limited company named as
Pakistan Television Corporation Limited, with prime objectives
to establish a Television Network in Pakistan for the provision
of broadcasting news, documentaries, education and
entertainment. There are two channels in the country namely
PTV Home and PTV News. There are also operating 22 private
TV channels across the country.

Telecommunication
The Telegraph and Telephone department was converted
into Pakistan Telecommunication Corporation on 15th
December 1990 for better telecommunication system in the
country. On 1st January 1996, the corporation was recognized
by establishing the Pakistan Telecommunication Authority
(PTA), the National Telecommunication Operation (NTC) and
Pakistan Telecommunication Company Limited (PTCL). PTCL
has issued 60,000 telephone connections to its customers. 6
Mobile companies are operating their network in Pakistan under
PTA. There are at least six crore people are using mobile phone
in Pakistan. Telecommunication sector of Pakistan is seeing
exorbitant growth in Pakistan. The sector is said to be growing
at a fast pace yearly. Mobile subscribers are more than 100
million as of Oct 2010. In fact Pakistan has the highest mobile
penetration rate in the South Asian region. According to the
PTA, Mobilink continues to lead the market with 31.4 million
subscribers, followed by Telenor (24.01 million), Ufone (20.18
million), Warid Telecom (17.16 million) and Zong (7.78
million).
TELECOM INDICATORS

Total Teledensity

Annual Cellular Mobile Subscribers

Annual Cellular Mobile Teledensity

Annual Fixed Local Loop Subscribers

Annual Fixed Local Loop Teledensity

Annual Wireless Local Loop Subscribers

Annual Wireless Local Loop Teledensity

Broadband Subscribers

Card Payphones

10

Telecom Contribution to National Exchequer

11

Foreign Direct Investment in Telecom

12

Telecom Revenues

13

Telecom Investment

TOTAL TELEDENSITY
At the end of March 2013, total teledensity in the country
increased to 71.95 percent, showing a growth of 2.4 percent over
the same period last year.
Total Teledensity
(Fixed + WLL + Mobile)
Years

Total Teledensity (%)

2011-12

72.0

2012-13

74.9

CELLULAR MOBILE SUBSCRIBERS

There were 121.13 million mobile subscribers at the end of
March 2013 compared to 118.32 million subscribers last year
depicting a growth over last year. Out of 121.0 million mobile
subscribers, 119.2 million are pre-paid (98.40%) and 1.8 million
post- paid (1.60%). The percentage of pre-paid in total
subscribers has increased over the years.
Annual Cellular Subscribers
Mobilink

Ufone

Zong

Telenor

Warid

Total

2011- 35,953,434
12

23,897,261

16,836,983

29,963,722

13,499,835

120,151,235

2012- 37,121,871
13

24,547,986

21,177,156

32,183,920

12,706,353

127,737,286

Fixed local loop and wireless local loop The

total local loop subscriber base including fixed and wireless
stood at 6.16 million at the end of March 2013. The LL industry
has grown by 1.5% during the last year after successive decline
in the last two fiscal years. In the Fixed Local Loop (FLL)
sector. FLL subscribers were 3.03 million and WLL subscribers
were 3.13 million. The positive growth in subscribers achieved
during the reported period is a result of strong performance of

PTCL, Wateen and World Call mainly in the WLL sector.

However, the overall affect of the subscriber addition on the
teledensity figures was minimal because of subsequent
population increase.
BROADBAND
Broadband in Pakistan is an example of a competitive,
technologically advanced, well regulated and consumer friendly
market.Government of Pakistan has extended full support to
telecom sector especially broadband, by spending Rs. 22 billion
on rural telecom development through USF7. Some of the fruits
of this spending include 7400 kms of fiber optics laid in far
flung areas. Moreover, government has plan to allocate Rs. 17
Billion in next year budget for stretching the broadband services
kept a technology neutral licensing regime thereby facilitating
influx of latest broadband technologies such as WiMAX, EvDO,
VDSL2, in addition to existing infrastructure of DSL, HFC,
FTTH, Satellite etc.
TELECOM CONTRIBUTION TO NATIONAL EXCHEQUER
Telecom sector has been contributing significantly to the
national exchequer in terms of taxes, regulatory fee, activation
tax and other charges. During 2012, the sector has contributed a
record amount Rs. 133 billion compared to Rs. 117 billion last
year. Major share of this growth has been through Federal
Excise Duty (FED) and other taxes. Telecom sector has been
overburdened with heavy taxes and telecom companies are

contributing almost
30 percent of their revenues under FED
and withholding tax. General Sales Tax (GST) on telecom
services is deducted under FED @19.5% whereas normally
prevailing GST rate on services in the economy is 16%.
Rationalization of telecom taxes can positively contribute to the
telecom sector growth and telecom contribution in the economy.
FOREIGN DIRECT INVESTMENT
Foreign Direct Investment (FDI) in telecom has also shown
similar patterns of overall investment in the sector. During 2006
to 2010, telecom sector attracted over US$ 6 billion FDI in the
country, which was almost 30 percent of the total FDI in the
country. During the last two years, overall FDI in the country
has reduced significantly. According to State Bank of Pakistan,
total FDI in Pakistan was US$ 853.7 million during July-April
2013, whereas net inflows of FDI in telecom remained negative
during the year on account of capital outflow by some
companies. Overall slow economic growth has also contributed
in the low investment in telecom. With the expected launch of
3G/4G services in the country during 2013, it is expected that
the cellular mobile sector will attract significant investment in
the next two years.
TELECOM REVENUE
Annual revenue of the telecom sector have reached to Rs. 411.4
billion during 2012, registering a growth of 13 percent over the
last year. This is a significant increase in revenues compared to

slow revenue growth in the last two years where total telecom
revenue growth remained in single digit i.e. 5.4 percent in 2011
and 3.1 percent in 2010. Revenues of Telecom sector during JulMar 2013 have reached to Rs. 323.0 billion registering a growth
of 2.92 percent.
TELECOM INVESTMENT
Telecom sector of Pakistan has attracted substantial investments
after the deregulation. During the last seven years, more than
US$ 12 billion have been invested in the telecom infrastructure
and new technologies. Currently, over 92 percent of our
population has access to telecom services, which has been
possible due to expansion of telecom infrastructure all over the
country by telecom operators. As operators have established
their basic infrastructures, necessary expansion, and done the
technology adoption. Therefore, telecom investment which was
to the tune of US$ 4 billion in 2007 has now reduced to US$ 251
million during July-March 2013.
Information Technology
IT has assumed unprecedented importance in the global
economy. Government has accorded a very high priority to this
sector. IT is one of the key determinants of competitiveness and
growth of economy. For promotion of IT, above than 400 cities
have been provided internet facility. Pakistan has established
Software Technology Park at Lahore, Karachi and Peshawar.
Currently, in 2006-07 Pakistan has earned 50 million dollars

from software industry. The Ministry of Science and

Technology has approved different projects which will be
implemented in the next few years.
Electronic Media in Pakistan
Pakistan Electronic Media Regulatory Authority (PEMRA) is a
statutory body established in March 2002 through an Ordinance
to facilitate and regulate growth of Electronic Media in the
private sector. The law was further revamped as PEMRA
Amendment Act 2007. PEMRA is primarily mandated for
licensing and regulating the establishment and operation of all
broadcast media (satellite TV & FM radio) and distribution
services (Cable TV, DTH, IPTV, Mobile TV etc.) in Pakistan.

PAKISTAN TELEVISION CORPORATION LIMITED

PTV is gradually extending its signal to remote and
economically backward areas of the country in order to uplift the
socio-economic conditions. PTV is operating 6 multiple
terrestrial channels in the country i.e. PTV home, PTV News,
PTV Bolan, PTV National, PTV Global and PTV Sports. Beside
this a TV Channel has been established in Azad Jammu and
Kashmir with one TV Centre, and with four Rebroadcast
Centers at Kotli, Rawala Kot, Bagh and Bhimber. In Pakistan an
English television channel was required since a long to create

greater understanding of Pakistans point of view in the world.

PTV has launched English News Channel in January 2013.
PAKISTAN BROADCASTING CORPORATION
Pakistan Broadcasting Corporation (PBS) is the largest stateowned media organization of the country. It operates with 64
AM/FM Radio Stations/Channels, spreading all over the country
with its daily broadcasts of about 940 hours programmes and
124 news bulletins of 746 minutes in 29 languages.
PBC is providing following major services:

124, News bulletins are placed on air daily.These

include National, Regional, External and Local News
bulletins.
Saraiki News Bulletin has launched on 8thNFebruary
2012 by the then Prime Minster of Pakistan. Four local
bulletins were also launched from Abbottabad.
PBC monitors news talk shows and comments of 14
radio and 10 satellite TV channels including foreign
broadcasts. This monitoring report is sent to VVIPs,
sensitive organizations and top officials through e-mail.
National Broadcasting Service is a dedicated current
affairs channel of PBC. This gives live coverage to
breaking news, discussions and analytical programmes
on important national and international issues for 17
hours a day.

 Planet FM-94 (English Channel) launched in

Islamabad, Karachi and Lahore, covers the aspiration of
the young generation. This channel entertains the
diplomatic society and foreign missions in Pakistan.
South Asia Broadcasting Services is broadcasting
programmes in five languages Mitali (Bangla), Hindi,
Nepali, Sinhali and Tamil with the objectives of
promoting peace and brotherhood among the SAARC
countries.
PBC External Services, Broadcasts programme for 8
hours daily in 11 foreign languages covering countries;
Afghanistan, Iran, China, India, Bangladesh, Nepal and
Sir Lanka.

Problem in communication sector in Pakistan

The problems in communication sector are following
Lack of Investment
Lack of Innovation
Under developed Means
Poor customer services
Highly Competitive Market
Corruption