The Asian Development Bank (ADB) has signed a $120m loan agreement with the Government of India to fund double-tracking work and the electrification of railway tracks across high-density corridors in the country.
It is the third tranche of the $500m financing facility approved by ADB for the Railway Sector Investment Program in 2011.
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The loan will support the ongoing improvement works which are expected to improve the operational efficiency of the Indian rail network.
ADB India country director Kenichi Yokoyama said: “Funding for the project’s third tranche will contribute toward achieving the overall programme outputs of double-tracking about 840km of rail routes and electrification of 640km of tracks along high-density corridors.
“The programme is also helping implement new accounting systems and provide additional safety measures, including collision avoidance equipment.”
The investment programme will cater to the busy freight and passenger routes in the states of Andhra Pradesh, Karnataka, Maharashtra, Chhattisgarh and Odisha.
The rail track duplication works will be carried out along the Daund-Titlagarh section, Sambalpur-Titlagarh section, Raipur-Titlagarh Section and Hospet-Tinaighat section, while the 641km-long Pune-Wadi Guntakal section will be electrified.
The Indian Finance Ministry’s Department of Economic affairs Joint Secretary Sameer Kumar Khare said: “The programme will help develop energy efficient, safe, and reliable railway systems that will result in reduced travel time along project rail routes and also reduce annual accident rate.”
The ADB, based in Manila, Philippines, aims to reduce poverty in Asia and the Pacific through environmentally stable economic growth and regional integration. Established in 1966, it is owned by 67 members, 48 of which are from the Manila region.
