Why does Islamabad need 4,000 Premium Hotel Rooms by Next Year?

ISLAMABAD – Islamabad is preparing for major international gathering, and the capital needs 4,000 premium hotel rooms by next year. With SCO summit on the horizon, CDA is racing to expand fine accommodation and ensure the city is ready to host thousands of high-profile delegates.

To make things smooth for the upcoming moot, Capital Development Authority (CDA) launched a citywide assessment of hotel capacity and plans to bring leading hotel owners and investors to the table next week in a bid to rapidly expand the capital’s high-end accommodation infrastructure.

CDA Chairman Sohail Ashraf cited urgency while speaking to a local publication despite Islamabad having more than 4,000 hotel rooms overall. CDA officials say nearly 1,000 rooms do not meet the international standards expected for major diplomatic and international events, leaving the authority under pressure to bridge the gap before the summit.

He called it a huge challenge to have 4,000 top-class rooms, but was confident to meet this target. The authority is preparing a conference with hotel owners and investors to push the sector towards rapid expansion. The proposed meeting will focus on three key areas: adding rooms to existing hotels, completing hotels currently under construction and attracting investment for entirely new projects in Islamabad.

Ashraf said several new hotels being developed at different locations in the capital are expected to become operational next year, potentially taking Islamabad’s accommodation capacity beyond the required level.

He said the CDA was working on the directives of the prime minister and interior minister to ensure the capital is fully prepared not only for the SCO summit but also for other major international events scheduled for 2027.

Among them are the South Asian Games and an IOC meeting, which could further intensify demand for quality accommodation. Islamabad already has prominent international-standard properties, including Serena, Marriott and Mövenpick. The CDA is also preparing contingency arrangements, with facilities such as Ghandhara Club and other government buildings being considered as backup accommodation for SCO delegates.

SCO Summit 2027

While CDA works to solve the hotel shortage, another mega project is being pushed forward to provide Islamabad with a purpose-built venue for the SCO summit.

The proposed New Islamabad Convention, Exhibition and Expo Centre (NICEEC) near Malpur is expected to host the main SCO event, while the Jinnah Convention Centre and Pak-China Friendship Centre will remain available for other summit-related activities.

CDA already opened financial bids for NICEEC. A joint venture led by China Construction Third Engineering Bureau emerged as the lowest bidder, with only two Chinese-led joint ventures competing for the project.

The project, however, has undergone a dramatic cost escalation following a major redesign. The initial PC-I envisaged an RCC-based structure, with the main project cost estimated at Rs16 billion. The design was later modified to incorporate substantial steel fabrication, including a steel domed roof. The lowest bid received after the changes reached approximately Rs37 billion.

Officials expect the facility to be completed in roughly one year after construction begins, putting the project on a tight schedule ahead of the SCO summit. NICEEC is being developed as a world-class multi-functional complex capable of hosting conventions, exhibitions, expos, trade fairs and cultural programmes.

The facility is specifically planned to accommodate the 2027 SCO summit. The original PC-I placed the total estimated cost at Rs19.3 billion, including contingency, consultancy, utilities and landscaping.

Under original design, the main construction component was valued at around Rs16 billion, with a planned covered area of approximately 270,000 square feet. The main hall was designed to stand 60 feet high, while the initial construction timeline was set at 18 months.

The redesign and introduction of steel structural components, particularly the domed roof, have significantly altered both the project’s design and financial requirements.