ISLAMABAD: Pakistan relaxed bidding rules to directly award a USD 2 billion contract to China for the construction of a strategically important road, according to a media report on Friday.
Finance Minister Muhammad Aurangzeb-led Economic Coordination Committee of the cabinet on Thursday approved to invoke a special rule to exempt the requirement for the international competitive bidding to award a contract to Chinese firms for the construction of a section of the Karakoram Highway, The Express Tribune newspaper reported.
The Thakot-Raikot section of the highway is critical to keep China-Pakistan connected through the land route.
The committee considered a summary of the Ministry of Communications regarding the Execution of Framework Agreement between China and Pakistan on Realignment of KKH (Thakot-Raikot) under the China-Pakistan Economic Corridor, according to a statement by the Ministry of Finance.