The Indian government has approved a proposal put forward by the Ministry of Railways to allow private sector investment in rail connectivity and capacity augmentation projects.
“The new policy would encourage speedy execution of rail connectivity projects and thereby generate both direct and indirect employment, besides spurring growth of freight – intensive industries. This would contribute to economic growth of the country,” the Ministry of Railways said in a statement.
“It would also bring out the synergy of PPP and help railways in significantly increasing their freight volumes and the industries to benefit from efficient rail transport.”
Indian Railways is currently developing six high-speed rail corridors, dedicated freight corridors and Mumbai elevated corridors under the public-private partnership to provide the billions of dollars of investment required to complete the projects.
Ministry of Railways has said that a transparent framework has been suggested to remove any ambiguity regarding the manner in which projects are structured and executed.
