Published 23:14 IST, August 24th 2020
AIIB, GOI sign $500M loan to improve network capacity of Mumbai's suburban railway system
AIIB sanctions loan of 500 million dollars to make the travel in the local trains of Mumbai safer, better and also expand the same over population explusion.
- Economy News
- 3 min read
In a bid to improve the network capacity, service quality, and safety of the suburban railway system in Mumbai, the government of India, the government of Maharashtra, Mumbai Railway Vikas and the Asian Infrastructure Investment Bank (AIIB) today signed a loan agreement for a $500 million.
It has been expected, that the project would be increasing the capacity of networks, the quality of services, and reducing the number of fatal accidents and time taken while traveling.
"The initiative will surely help in improving mobility, the standard of amenities provided, and the protection of the travelers of the suburban trains of the city, by providing them transportation facilities that would be faster, more reliable and of better quality than what one would expect on the roads. Safety benefits, to passengers and public, would be more direct since trespass control measures would be applied," said Sameer Khare, Additional Secretary, Department of Economic Affairs, Ministry of Finance, who has signed the agreement on behalf of Government of India.
About 86 percent of people living in the city rely on public transports such as trains. However, the supply has not been able to match the demands. This mode of transport sees some of the worse amounts of overcrowding on the planet, said a press release.
According to the website of the AIIB, the funds of the project shall be used to quadruple the 64-KM long corridor between Virar and Dahanu, which would provide extensions of suburban railways and connect the areas in the periphery of the city.
The funds of the project shall also be utilized in constructing a new corridor between Panvel and Karjat, to keep up with the increasing demands of urbanization and population expulsion.
The project shall also aim at the installation of midsection trespass control measures. These would include segregating the track by fencing or reinforced concrete wall, pedestrian crossings located either below the track or over the tracks, to reduce fatal accidents.
"With a population of 22.8 million, the Mumbai Metropolitan Region(MMR) is the most populous metropolitan region in the country. The population is expected to reach 29.3 million by 2031 and 32.1 million by 2041. The state of Maharashtra urgently needs to prioritize sound urban and infrastructure planning which balances economic activities and mobility," said the press release by the Ministry of Finance.
The project represents a major step of supporting our member nations to provide transport while removing tough situations, and improving the commuting of millions in the city said D.J. Pandian, the Vice-President of AIIB.
(with inputs from agencies)
(image credit: Ministry of Finance press release)
Updated 23:14 IST, August 24th 2020