RAILWAYS X

closed

The planned investments during the two-year project period, April 1, 1969 to March 31, 1971, will aggregate the equivalent of US$709 million; about 44% of the total will be for rolling stock and about 16% will represent line capacity work such as double tracing and gauge conversion. The foreign exchange component will be about US$95 million equivalent, and represents the cost of imported equipment and of imported components for equipment manufactured in the Railways' workshops. The local currency cost of the project will be financed by the Railways and from the central government budget. Apart from the proceeds of the proposed credit, foreign exchange requirements are to be obtained bilaterally, and from India's own resources. The import of components and materials for rolling stock comprise the largest single category under the proposed credit (69%); other important items will be for the import of electrical equipment and for signalling and telecommunications.