Murad Ali Shah says damaged structure to be demolished and reconstructed within two years
KARACHI:
Sindh Chief Minister Murad Ali Shah said on Friday that traders affected by the deadly Gul Plaza fire will be provided with temporary shops within two months, while the damaged commercial structure will be demolished and reconstructed within two years.
“The plaza has to be demolished, but we will rebuild Gul Plaza within two years, reconstruct the shops and hand them back to the traders,” Shah said, stressing that the number of shops would not be increased and the reconstruction would follow Karachi Building Control Authority (KBCA)-approved plans.
Addressing the Sindh Assembly, the chief minister said arrangements for temporary shops would be finalized within two months to allow traders to resume their businesses. He added that the Sindh government had identified two commercial buildings with a total of 850 shops whose owners had agreed to waive rent for one year, with efforts to extend the rent-free period to two years.
The fire, which broke out late on Saturday evening, destroyed the square on several floors and caused severe structural damage. Human remains continued to be recovered from the rubble during debris removal and were shifted to Civil Hospital Karachi for medico-legal procedures. Rescue officials said the final sweep of the building was expected to be completed today.
The CM said that the Sindh government would provide immediate financial assistance of Rs500,000 per store to affected merchants as part of the first phase of the compensation. These funds, he said, would be distributed through the Karachi Chamber of Commerce and Industry.
In addition, each affected trader will be offered an interest-free loan of Rs 10 million through the Sindh Enterprise Development Fund, with the provincial government acting as guarantor and bearer of the mark. He also assured safety and support to those affected by the tragedy.
Shah said a compensation of Rs 10 million for each deceased’s family had already been approved and released. He directed Karachi Commissioner Syed Hassan Naqvi to ensure speedy disbursement after identification of the families.
Giving an update on recovery operations, he said 67 bodies had been recovered so far while 15 people remained missing. However, Amir Hassan, in-charge of the identification desk at the Citizen-Police Liaison Committee, said four more bags of human remains were brought to the hospital overnight, raising the death toll to 71.
Shah said 88 missing persons were initially reported, but after removing duplications and errors, the verified number stood at 82. DNA testing of 15 victims had been completed, while identification of 52 others was underway.
Read more: Gul Plaza fire causes Rs 100 billion loss, 1,000 shops destroyed
Detailing the timeline of the incident, the chief minister said the fire broke out at 22.14 on Saturday on the ground floor of the square. The fire service received the first emergency call at 22:26, while Rescue 1122 was alerted at 22:36.
He said a government representative, Deputy Commissioner South, reached the spot within 16 minutes of the fire. Shah also criticized unnecessary visits by certain VIPs during rescue operations, saying such appearances for television coverage caused congestion and hampered emergency response efforts.
The CM announced that FIRs would be registered and a full investigation would be conducted into the causes of the fire and any institutional negligence. “Whoever is responsible will be punished. If government institutions were negligent, they will also be held accountable,” he said.
Building approval history
On Gul Plaza’s legislative background, Shah said the building was approved in 1979 for a basement, ground floor and two additional floors. The lease, he added, was extended in 1991 under the Karachi Metropolitan Corporation during the tenure of the then mayors, Naimatullah Khan and Farooq Sattar.
He said irregularities in the building were regularized in 2003, long before the 18th constitutional amendment, and dismissed claims that devolution was responsible for the tragedy. While the square had civilian exits on paper, he said the number of exits was insufficient.
“In 2003, the 18th Amendment was not in place and the Pakistan People’s Party was not in power. There was an ordinance at that time that said all buildings with irregularities should be legalized,” he said, adding that “on paper, the square had civilian exits, but there were too few exits.”
Criticizing attempts to politicize the tragedy, he said: “Using such a tragedy for your political ends is tantamount to committing a serious crime. Criticize the government but don’t politicize it,” he said.
Furthermore, Shah shared that structural and fire safety audits across Karachi had already begun, with more than 300 buildings inspected so far. Buildings that do not meet safety standards will be given a short compliance period, after which non-compliant structures will be sealed, he added.
He also announced plans to bring all emergency response agencies under a unified command and said the Sindh government would push for mandatory building insurance legislation, adding that he had raised the issue with the federal commerce minister.
Sindh CM approves Rs21.53b package for Karachi infrastructure
Separately on Friday, Shah approved a Rs21.53 billion package for the rehabilitation and improvement of Karachi’s infrastructure, including Rs13 billion for Town Municipal Corporations (TMCs) and Rs8.53 billion for Karachi Metropolitan Corporation (KMC) projects covering roads, water, sewerage, drainage and street lighting.
According to a press release from the Chief Minister’s Office, the initiative aims to ease traffic congestion, increase public safety and boost economic activity in the provincial capital.
The approval came during a meeting at CM House attended by Local Government Minister Nasir Shah, Karachi Mayor Murtaza Wahab, Chief Secretary Asif Hyder Shah, Karachi Commissioner Hassan Naqvi, Finance Secretary Fayaz Jatoi, Secretary to CM Raheem Shaikh and other relevant officials.
Sindh CM@MuradAliShahPPPokay 21.53 billion Rs. before #Karachi infrastructure upgrade, including Rs13bn. for 24 TMCs to repair 409 damaged roads and Rs8.53bn for KMC roads, water, sewerage, drainage and street lighting. Funds must be released to improve mobility, safety and economic activity pic.twitter.com/FMN6YTykWX
— Sindh Chief Minister House (@SindhCMHouse) 23 January 2026
Briefing the chief minister, local affairs minister Nasir Shah said all 24 TMCs had requested financial assistance to repair severely deteriorated roads and streets, citing budgetary constraints that prevented them from carrying out the work independently.
Karachi Mayor Murtaza Wahab reported that 409 roads across seven districts of Karachi required attention, with 400 roads requiring patchwork repair and nine requiring complete reconstruction. District-wise estimates show that Malir has the highest number of roads (98), followed by West (81), Central (53), South (50), East (49), Korangi (39) and Keamari (39).
Keamari accounted for the highest estimated cost at Rs 2.32 billion, followed by West at Rs 2.31 billion and East at Rs 1.85 billion. Major allocations include Rs1.75 billion to TMC Manghopir, Rs960 million to TMC Gadap, Rs944 million to TMC Baldia and Rs858 million to TMC Mauripur.
Read more: Mega projects long-term investment for city: CM
Most TMC projects will focus on patchwork repairs, while select roads in Gulberg, Gulshan, Jinnah, Sohrab Goth, Orangi, Manghopir, Saddar and Landhi will undergo complete end-to-end rehabilitation.
The total cost of the TMC mega scheme is Rs 13.32 billion, which includes Rs 10.93 billion for road rehabilitation (Rs 10.68 billion for patchwork and Rs 248 million for complete reconstruction), Rs1.64 billion for sewerage and water supply works, Rs628 million for Sindh Revenue Board25, and Rs 1.64 billion for official expenditure of Sindh Revenue Board25, and Rs.
The CM recalled his directives from a January 7 meeting where the KMC was tasked with renovating 26 major roads. Mayor Wahab presented the KMC’s assessment and estimated Rs 5.53 billion. for reconstruction and reconstruction of roads.
Additional allocations include DKK 1 billion. Rs for emergency water and sewerage repairs to be carried out by the Karachi Water and Sewerage Corporation, 1 billion. Rs. for the construction and reinforcement of storm drain walls and 1 billion Rs. for installing and upgrading street lighting. The total estimated cost of KMC-led works is Rs8.53 billion, the statement added.
Read also: Sindh unveils Rs1tr development budget for 2025-26
He stressed that speedy rehabilitation of Karachi’s road network was essential for economic growth and public convenience. He directed all departments to expedite approvals and ensure “transparent and high-quality execution of all projects.”
He further directed the authorities to coordinate the execution of road, sewerage and water supply works to prevent repeated digging and inconvenience to the residents. Transparency, quality control and timely completion will be closely monitored.
This package follows a similar initiative in November 2025, when Shah approved a special package of Rs25 billion for Karachi to repair infrastructure damaged by heavy rains.



