Pakistan explores promising railway partnership with Azerbaijan to enhance regional connectivity

Pakistan is actively exploring avenues for cooperation with Azerbaijan in the railway sector, with a particular focus on potential private sector involvement and strategic infrastructure development.

The initiative is part of Islamabad’s broader efforts to modernise its transport network and boost regional connectivity.

This was confirmed by Pakistan’s Minister of State for Railways and Member of the National Assembly, Bilal Azhar Kayani, during a recent interview with local media, per Caliber.Az.

Kayani underscored that Pakistan Railways is currently undertaking an ambitious programme of reconstruction and modernisation targeting key railway corridors across the country.

“We have plans for the complete modernisation of our main railway lines. This will create a robust foundation for the future development of Pakistan’s rail infrastructure,” he stated. “In parallel, we are actively pursuing regional connectivity initiatives in collaboration with neighbouring countries.”

According to the minister, Azerbaijan is viewed as a particularly important partner in this effort. “We highly value the prospects of cooperation with Azerbaijan—not only in upgrading our primary rail corridors but also in strengthening regional connectivity. In this context, we are considering the involvement of the private sector and evaluating opportunities for intergovernmental partnerships,” Kayani noted.

This railway collaboration is expected to build on the recent momentum in Pakistan-Azerbaijan relations, which have seen a notable deepening in economic and strategic engagement. The visit of Pakistani Prime Minister Shehbaz Sharif to Baku served as a major turning point, featuring in-depth discussions with Azerbaijani President Ilham Aliyev and the signing of several bilateral agreements and Memoranda of Understanding (MoUs).

These agreements represent a shift from conventional diplomatic ties to a more robust and substantive partnership, particularly in the realms of trade, investment, and energy. The centrepiece of the evolving cooperation is a commitment to increase mutual investments to $2 billion through joint projects designed to deliver reciprocal benefits. This move not only signals Baku’s growing confidence in Pakistan’s economic potential but also bolsters Pakistan’s appeal as a destination for strategic investment.

Among the most significant recent developments is the MoU signed between Azerbaijan’s state oil company SOCAR and two major Pakistani entities—the Frontier Works Organisation (FWO) and Pakistan State Oil (PSO). The agreement outlines collaboration on the Machike–Thallian–Tarujabba White Oil Pipeline Project, a key infrastructure initiative aimed at boosting Pakistan’s energy security and cutting transportation costs. The pipeline project is expected to play a critical role in enabling more efficient oil logistics and supporting the country’s industrial and economic expansion.

As Islamabad and Baku deepen cooperation across various sectors, the prospect of enhanced railway connectivity and joint transport infrastructure projects marks another vital step toward a comprehensive strategic partnership between the two countries.

By Tamilla Hasanova