RAILWAY IV

closed

The proposed project is NdeM's investment plan for the 1981-1983 period and is aimed at enabling NdeM to meet the rapid increase in demand for railway transport that Mexican economic growth is generating. The project also aims at strengthening NdeM's operating performance and financial situation through an agreed plan of action. Investments will be made principally in track rehabilitation, motive power and rolling stock expansion and modernization, communications improvements, and technical assistance. A shortfall in the realization of forecast traffic and in financial performance are the main risks. However, in view of Mexico's rapidly growing economy and the need for transport services as well as the Government's stated policies on tariffs, these risks are acceptable.