Gulf Council to Invest $109bn in Rail Projects

3 January 2010 (Last Updated January 3rd, 2010 18:30)

The Gulf Cooperation Council (GCC) nations are planning to focus on rail projects in the next ten years by investing $109bn to ensure smooth traffic flow, and relieve congestion on roads in the region. According to a study by the Kuwait Financial Centre, rail as a sector has not had muc

The Gulf Cooperation Council (GCC) nations are planning to focus on rail projects in the next ten years by investing $109bn to ensure smooth traffic flow, and relieve congestion on roads in the region.

According to a study by the Kuwait Financial Centre, rail as a sector has not had much growth in the GCC regions, but the cancellation of plans to invest nearly $14.5bn in highways because of the global financial crisis, had placed the focus on rail as a viable option for connecting different regions.

According to the GCC, the region has witnessed a high growth rate and large-scale commercial activities leading to a rise in congestion on roads, which prompted the investment decision.

The report says that the pan-GCC railway is planned at an overall cost of $60bn annd will open a lot of interesting opportunities for pan-GCC travellers.