The government of Pakistan is seeking $2 billion in investment from Gulf countries to construct a railway track connecting Chagai to Gwadar. This railway line is crucial for transporting minerals from the Reko Diq mines to Gwadar for export.

A new railway line will be built for this purpose, following a feasibility study conducted by the Ministry of Finance, Ministry of Railways, and the Special Investment Facilitation Council (SIFC). However, Gulf countries have requested sovereign guarantees for their investments. The Ministry of Finance, while under the IMF loan program, has reservations about providing guarantees for every investment.

During a briefing to the International Monetary Fund (IMF) delegation, SIFC officials emphasized the council's role in facilitating investments and acting as a bridge between investors and the government. The IMF has reportedly asked Pakistan to avoid granting tax exemptions to international investments under the SIFC framework.

Negotiations between the Ministry of Finance and the Ministry of Law are ongoing to amend the Sovereign Wealth Fund framework to address some of these concerns. The IMF delegation was also briefed on the governance, structure, and investment plans of the SIFC.