Murad Ali Shah says damaged structure will be demolished and rebuilt within two years
KARACHI:
Sindh Chief Minister Murad Ali Shah on Friday said traders affected by the deadly Gul Plaza fire would be provided with temporary shops within two months, while the damaged commercial structure would be demolished and reconstructed within two years.
“The square will have to be demolished, but we will rebuild Gul Plaza within two years, rebuild the shops and return them to the traders,” Shah said, emphasizing that the number of shops would not be increased and the reconstruction would follow the plans approved by the Karachi Building Control Authority (KBCA).
Addressing the Sindh Assembly, the chief minister said the arrangements for temporary shops would be finalized within two months to enable traders to resume operations. He added that the Sindh government had identified two commercial buildings housing a total of 850 shops, whose owners had agreed to waive rent for one year, and efforts were underway to extend the rent-free period to two years.
The fire, which broke out on Saturday evening, gutted the multi-story plaza and caused severe structural damage. Human remains continued to be recovered from the rubble during debris removal and were transferred to the Civil Hospital in Karachi for medico-legal procedures. Rescue officials said final cleaning of the building should be completed by today.
The CM said the Sindh government would provide immediate financial assistance of Rs 500,000 per shop to the affected traders under the first phase of compensation. These funds, he said, would be distributed through the Karachi Chamber of Commerce and Industry.
Additionally, each affected trader would be offered an interest-free loan of Rs 10 million through the Sindh Enterprise Development Fund, with the provincial government acting as guarantor and bearing the surcharge. He also provided safety and support to those affected by the tragedy.
Shah said compensation of Rs 10 million for the family of each deceased victim had already been approved and released. He asked 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, head of the identification office at the Citizens-Police Liaison Committee, said four additional bags containing human remains were brought to the hospital overnight, bringing the death toll to 71.
Shah said 88 missing people were initially reported, but after eliminating duplications and errors, the verified figure stood at 82. DNA testing of 15 victims had been carried out, while identification of 52 others was underway.
Learn more: Gul Plaza fire causes 100 billion rupees losses, 1,000 shops destroyed
Detailing the timeline of the incident, the chief minister said the fire broke out at 10:14 pm last Saturday on the ground floor of the place. The firefighters received the first emergency call at 10:26 p.m., while emergency services 1122 were alerted at 10:36 p.m.
He said a government official, Deputy Commissioner South, arrived at the scene within 16 minutes of the fire. Shah also criticized unnecessary visits by some personalities during rescue operations, saying such television appearances caused traffic jams and hampered emergency response efforts.
The CM announced that FIRs would be registered and a thorough 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.
History of construction approvals
Addressing the regulatory background of Gul Plaza, 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 leadership of the Karachi Metropolitan Corporation during the tenure of then mayors Naimatullah Khan and Farooq Sattar.
He said the construction irregularities were regularized in 2003, much before the 18th constitutional amendment, rejecting claims that decentralization was responsible for the tragedy. Although the square had civilian exits on paper, he said the number of sorties was insufficient.
“In 2003, the 18th Amendment was not in force and the Pakistan People’s Party was not in power. An ordinance was passed at that time stating that all buildings with irregularities should be regularized,” he said, adding that “on paper, the square had civilian exits, but there were too few.”
Criticizing attempts to politicize the tragedy, he said: “Using such a tragedy for political purposes is tantamount to committing a serious crime. Criticize the government, but don’t politicize it,” he said.
Furthermore, Shah said structural and fire safety audits in Karachi have already started, with over 300 buildings inspected so far. Buildings not meeting 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 legislation on buildings insurance, 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 program for rehabilitation and improvement of Karachi’s infrastructure, including Rs13 billion for City Municipal Corporations (TMCs) and Rs8.53 billion for Karachi Metropolitan Corporation (KMC) projects covering roads, water, sewerage, drains and street lighting.
According to a press release from the Chief Minister’s Office, the initiative aims to reduce traffic congestion, improve public safety and boost economic activity in the provincial capital.
The approval took place at a meeting at the 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, CM Secretary Raheem Shaikh and other concerned officials.
Sindh CM@MuradAliShahPPPauthorizes Rs21.53 billion for #Karachi infrastructure upgrades, including Rs13 billion for 24 TMC to repair 409 damaged roads and Rs8.53 billion for KMC roads, water, sewerage, sewerage and street lighting. Funds will be released to improve mobility, security and economic activity pic.twitter.com/FMN6YTykWX
– Sindh Chief Minister’s House (@SindhCMHouse) January 23, 2026
Addressing the chief minister, Local Government Minister Nasir Shah said the 24 TMCs had sought financial assistance to repair the badly deteriorated roads and streets, citing budgetary constraints that prevented them from undertaking the work independently.
Karachi Mayor Murtaza Wahab said 409 roads across seven districts of Karachi required special attention, with 400 roads needing piecemeal repairs 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 Rs2.32 billion, followed by West at Rs2.31 billion and East at Rs1.85 billion. The major allocations include Rs1.75 billion for TMC Manghopir, Rs960 million for TMC Gadap, Rs944 million for TMC Baldia and Rs858 million for TMC Mauripur.
Learn more: Mega long-term investment projects for the city: CM
Most of the TMC projects will focus on piecemeal repairs, while some 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 project is Rs 13.32 billion, including Rs 10.93 billion for road rehabilitation (Rs 10.68 billion for patchwork and Rs 248 million for complete reconstruction), Rs 1.64 billion for sanitation and water supply works, Rs 628 million for Sindh Revenue Board charges and Rs 125 million for unforeseen expenditure, according to the official press release.
The CM recalled his directives from a meeting on January 7, during which KMC was given the task of rehabilitating 26 major roads. Mayor Wahab presented KMC’s assessment, estimating Rs5.53 billion for reconstruction and resurfacing of roads.
The additional allocations include 1 billion rupees for urgent water and sewerage repairs to be carried out by the Karachi Water and Sewerage Corporation, 1 billion rupees for the construction and strengthening of storm sewer retention walls, and 1 billion rupees for the installation and upgrading of street lighting. The total estimated cost of the work carried out by KMC is Rs 8.53 billion, the statement added.
Read also: Sindh unveils Rs1tr development budget for 2025-2026
He stressed that speedy rehabilitation of Karachi’s road network was essential for economic growth and public convenience. He asked all departments to expedite approvals and ensure “transparent and high-quality execution of all projects”.
He further asked the authorities to coordinate the execution of road, sanitation and water supply works to avoid repeated digging and inconvenience to residents. Transparency, quality control and timely completion would be strictly monitored.
This program follows a similar initiative in November 2025, when Shah approved a special 25 billion rupees program for Karachi to repair infrastructure damaged by heavy rains.




