Advantage India
Growing
Demand
* Increasing urbanisation and rising income (both urban and rural) is driving growth in the passenger segment.
* India is projected to account for 40% of the total global share of rail activity by 2050.
Attractive
Opportunities
* Indian Railways is developing and creating technology in areas such as signaling and telecommunication with 15,000 kms being converted into automatic signaling and 37,000 kms to be fitted with ‘KAVACH’, the domestically developed Train Collision Avoidance System.
Higher
Investments
* FDI inflows in railway-related components stood at US$ 1.23 billion from April 2000-June 2022.
* Rail infrastructure will see an investment of Rs 50 lakh crore (US$ 715.41 billion) by 2030.
* Railway infrastructure investment is expected to increase from US$ 58.96 billion in 2013-17RE to US$ 124.13 billion by 2018-22E.^
Policy
Support
* Government has allowed 100% FDI in the railway sector.
* In January 2021, the Ministry of Railways rolled out a new iron ore policy governing allocation of rakes and transportation of iron ore.
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