Home » ADB loan to Railways

ADB loan to Railways

ADB loan to Railways
Shares

The Asian Development Bank (ADB) would extend loans of up to $500 million to Indian Railways to improve services along some of the busiest freight and passenger routes. The investment would target various routes in Chhattisgarh, Orissa, Maharashtra, Karnataka and Andhra Pradesh, including the critical Golden Quadrilateral corridor that connects Chennai, Kolkata, Mumbai and New Delhi. Many of these lines carry a large number of passengers, along with large quantities of freight.

The multi-tranche facility is meant to finance additional lines and electrification of long stretches of the existing track network, along with installation of signalling systems. The bank will also help the Railways go in for accounting reforms to enhance its operational efficiency. The funds would be released in several tranches, with an initial loan of $150 million from ADB's ordinary capital resources.

Leave a Reply