Economy will grow if more investments in Railway: Prabhu

By: |
Pune | Published: July 20, 2015 11:34:00 AM

The Indian economy will register an increased growth by 2-3 per cent if the country's railway network is pumped with a massive investment to boost the connectivity, Railway Minister Suresh Prabhu said.

suresh prabhu indian railwaysRailway Minister Suresh Prabhu said China made massive investment in the railways and showed that a country can accelerate development by boosting connectivity. (Express Photo by Prem Nath Pandey)

The Indian economy will register an increased growth by 2-3 per cent if the country’s railway network is pumped with a massive investment to boost the connectivity, Railway Minister Suresh Prabhu said.

“The Indian economy will grow by 2 to 3 per cent more with increased investments in the railways as reforms in transportation sector are vital to exploit full growth potential of the country,” Prabhu said at a function in Pune on Saturday night.

Citing the example of China, he said, “China made massive investment in the railways and showed that a country can accelerate development by boosting connectivity.”

Pointing out that congestion was one of the main problems faced by the Indian railways, the minister said doubling and tripling of the lines can happen only with a hike in investment in the sector.

He said the tendering process of the railways and other commercial decisions were not being handled by the railway minister in the NDA government, as far as the delegation and decentralisation of power to the departments is concerned.

“This has resulted in less loitering by agents in the Rail Bhavan,” he said.

“The Railway minister now works only on policy execution. Decentralisation of power of decision making, if necessary, is in the interest of a transparent administration,” he noted.

The cabinet had recently cleared development plans for 400 railway stations, Prabhu said, adding that the railways should be seen as a new medium of development for the country in future.

For Updates Check Economy News; follow us on Facebook and Twitter

Get live Stock Prices from BSE and NSE and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

FinancialExpress_1x1_Imp_Desktop