Rlys attracts $59.81-mn FDI in 6 months: Govt

The Foreign Direct Investment (FDI) in the railways between September 2015 and February this year stood at nearly $60 million, the government told the Lok Sabha on Wednesday.

MoS for Railways Manoj Sinha, in a written reply to a question on FDI in Railways, said, “As per data compiled by the Department of Industrial Policy and Promotion (DIPP), the quantum of FDI in Railway related components during the last six months (from September 2015 to February 2016) is $59.81 million.”

“As per data compiled by the DIPP, agreements have been signed between the Ministry of Railways and the Joint Venture Company for setting up of two locomotive factories at Madhepura (Electric) and Marhowra (Diesel) costing Rs 2,600 crore, entailing FDI inflow in rolling stock manufacturing,” he said.

Sinha added that while precise amount of FDI further expected could not be predicted or quantified, potential projects, involving FDI, include Dankuni and Kancharapara rolling stock factories and annuity projects of third line between Wardha-Nagpur, Kazipet-Vijaywada and Bhadrak-Nargundi. 

The Ministry of Railways has notified sectoral guidelines on FDI and nominated its PPP cell as the FDI facilitation cell. 

Recently, Railway Minister Suresh Prabhu had said that Indian Railways had attracted FDI to the tune of Rs 42,000 crore and would soon float tenders for manufacturing rail coaches in the country.