The Karachi Development Authority (KDA) is facing a severe financial crisis, with a monthly shortfall of Rs 13 crore that prevents it from clearing post-retirement dues or initiating development projects independently, revealed Director General Asif Jan Siddiqui. This stark reality underscores the authority’s complete reliance on Sindh Government funding for all major infrastructure work in the metropolis.
According to KCCI information today, during a detailed briefing at the Karachi Chamber of Commerce and Industry (KCCI), the Director General explained that while the Sindh Government provides a grant of Rs. 40 crore, the KDA”s salary obligations alone amount to Rs. 53 crore. The deficit is currently being managed through revenue generated from plot transfers. “Due to financial limitations, we are unable to clear post-retirement dues or initiate projects independently,” he acknowledged.
Siddiqui informed the business community that despite these fiscal constraints, numerous KDA projects valued at billions of rupees are underway, all financed by the provincial government. He noted a time when the federal government also contributed to Karachi”s development, but remarked that at present, Sindh is the sole financier of major civic works in the city.
The primary focus of the meeting was the formulation of the Greater Karachi Regional Master Plan 2047. Siddiqui clarified that the previous master plan, conceived in 2020, could not anticipate the city”s rapid evolution and emerging challenges. “To address these realities and meet the city’s growing needs up to 2047, the Sindh Government decided to update the 2020 Master Plan,” he stated, adding that foreign consultants are developing the new framework to guide all future infrastructure decisions.
He assured the attendees that key stakeholders have been given significant importance in the planning process. “KCCI has been included in two of the most important committees formed under the Greater Karachi Master Plan,” Siddiqui confirmed, ensuring its recommendations would be integral to decision-making.
However, business leaders raised urgent concerns about the city”s present state. Vice Chairman of the Businessmen Group (BMG), Jawed Bilwani, participating via Zoom, pressed for accelerated and transparent action against the widespread encroachment of KDA plots. While acknowledging that retrieval efforts have begun, he sought details on progress and the concrete plan of action being pursued by the authority.
Bilwani also pointed to the largely inactive Traffic Engineering Bureau, which operates under KDA, as a major cause of worsening traffic congestion. He stressed the need to activate all dysfunctional traffic signals, a responsibility that falls under the KDA”s purview.
KCCI President Muhammad Rehan Hanif echoed the call for immediate attention, questioning the lack of new large-scale housing schemes since the launch of Gulistan-e-Jauhar and Surjani Town, despite the city”s massive population growth. He asserted that Karachi, which contributes 67 percent to the national revenue, is not asking for charity but its fair share in return for its economic output.
Nusair Siraj Teli, Chairman of KCCI’s Subcommittee on Upliftment of Karachi, expressed that the business community feels Karachi has been neglected like an “orphaned city.” He argued that while a long-term plan is being formulated, the city”s dilapidated condition demands urgent action on a “war-footing basis.” Teli highlighted Karachi”s unique status as a “Mini Pakistan”, home to diverse communities and the economic engine of the country, yet it continues to suffer from chronic neglect.
Despite the challenges, the business leaders expressed renewed optimism in DG Asif Jan Siddiqui”s leadership, citing his past record of dedicated service and competence to revitalize the KDA”s performance.