Deadline set for resolving economic corridor dispute

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ISLAMABAD: The Dispute Resolution Service (DRS) of the World Bank has fixed May 26, 2026, as the final deadline for the resolution of the dispute of the Khyber Pass Economic Corridor project.

The parties to the conflict, the complainants and the government, signed on Thursday (Nov 13) an interim agreement that addressed the eligible issues in the case, and requested the DRS to continue with the mediation.

Following which, DRS Head Orsolya Szekely informed the WB’s executive board, the Inspection Panel and the bank management that “at the request of both parties, and recognising the parties’ commitment and progress so far”, the dispute resolution process has been extended for an additional period of up to six months, with a final deadline of May 14, 2026.

“Should the parties sign a further agreement addressing further eligible issues, they agreed that the terms of the interim agreement signed on Nov 13 will be incorporated within the final Dispute Resolution Agreement. Should this not happen, the parties agreed that the interim agreement will be deemed the ‘Dispute Resolution Agreement’, partially addressing the eligible issues in the case, according to the notice of Extension-Dispute Resol­ution signed by the head of the dispute resolution service of the World Bank.

Published in Dawn, November 16th, 2025

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