FACTORS CAUSING DELAYS AND COST OVERRUNS IN CONSTRUCTION PROJECTS IN PAKISTAN

Abstract

Delays and cost overruns are common problems in construction projects in Pakistan, especially in public-sector and infrastructure projects. These problems affect project owners, contractors, consultants, users, and the wider economy because delayed projects usually require extra funds, create disputes, and reduce public confidence. Previous studies show that Pakistani construction projects face repeated issues such as inconsistent cash flow, late payments, poor project management, design changes, legal and land acquisition problems, inflation, material shortages, weak labour productivity, and poor coordination among stakeholders. One study of 65 construction projects in Pakistan found that 74% suffered cost overrun and 97% suffered delay, with an average cost overrun of 28.27% and an average delay of 2.1 years. This paper discusses the major factors causing delays and cost overruns in Pakistani construction projects and suggests practical measures for improvement.