Railways to soon invite bids for modernisation of stations: Arun Jaitley

We’re inviting private participation, foreign funds into the infra space: Jaitley.

By: ENS Economic Bureau | New Delhi | Published: January 6, 2016 1:14 am

With the Union Budget for 2016-17 set to be presented next month, finance minister Arun Jaitley said the government will continue to step up public investment to boost growth in the wake of continuing challenges in global economy. He said the government is making room for further private sector participation in the infrastructure space and the railways will soon invite bids for modernisation of 400 stations.

“The public investment has been stepped up in the last year and it will continue to remain stepped up and therefore when you fight a global slowdown public investment has to lead the way,” Jaitley said. Speaking at the foundation day event of the India Infrastructure Finance Co Ltd, the finance minister said: “The railways has now come on to directionally the right track. We are inviting the private sector including foreign investment into the infrastructure…very shortly the railways is going to come with its proposed bids for development of 400 railway stations in the country.”

Having raised some funds from tax-free bonds, the railways intend to mobilise international investment, he said. “The LIC has made available long term capital to them (railways). And that’s an area which directionally I think is on the right track.

The movement needs to be a little expedited,” he added.

The government is also considering participation of private sector in mid and small airports to improve their managerial efficiency, he added.

“They probably need managerial efficiency and therefore, management participation of the private sector in the management of some of these airports is a proposal which they have been considering. I think the government is very clear with
regard to the direction in which it wants to move,” he said.

Jaitley said enhanced public investment in infrastructure sector last year had now started showing results. Last year a lot of resources were put in the direction of national highways, rural roads and railways, he said.

“The result of this is visible now that the stalled projects among the highways have got moving. As a result of enhanced public investment, even private sector players who had got bogged down in their disputes have re-entered the field,” he said.

The years and months to come will be those where we will be seriously investing in infrastructure. We should be able to show much more positive result as far as Indian economy is concerned making it a stable force which we have become even in the midst of even in a crisis like situation across the world, the minister said.

Commenting on the recently set up National Infrastructure Investment Fund, the minister said the government is in touch with many global sovereign and pension funds to become partners.

He emphasised that global economy was passing through a phase of volatility but lower crude oil, commodity and mineral prices were an opportunity for India.

“World is passing through a phase of great volatility. There is no easy day. And therefore the trends that global economy pass going to throw up will be challenging,” he said, adding that the opportunity provided by the low oil prices has enabled the government to channelise a large part of our savings in central areas of infrastructure.

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  1. K
    Jan 5, 2016 at 7:53 pm
    Nobody that I know believes one word coming out of dopey Jaitley. I would not trust him even if my life depended on it. If BJP loses the next Lok Sabha elections, you will know whose presence made it happen. Remember that he lost the elections! But he managed to get in. But now, if BJP loses the next Lok Sabha elections, you will know who to blame. India must get ready to welcome Mr Nitish Kumar as the next PM. Mr Nitish Kumar has cl and substance. The crouching, dokhla-eating Gujjubhai whose chin touches his chest, is only good to run after the goras for selfies, and provide photoshopped black to pink images of himself to the media.
    1. Hemen Parekh
      Jan 6, 2016 at 7:05 am
      Fear of Being Ridiculed ? Many a great ideas have remained unexpressed due to fear of being ridiculed But there have been notable exceptions Idea whose time may not have come but that did not prevent its proponent to speak up - even at the risk of being ridiculed IDEA : Abolish Personal Income tax in order to solve the twin problems of black money and corruption , for ever BRAVE HEARTS : Nani Palkhiwala Ram Jethamalani Subramanyam Swamy When scions of business / industry meet Shri Arun Jaitleyji today , to give their suggestions in respect of Corporate Income Tax provisions in the forthcoming Union Budget , will any of them have the courage to advocate : * Abolition of Personal Income Tax ( Revenue loss of Rs 2.5 lakh*Crores ) * Reducing Corporate Tax rates with rise in no of employees ( Incentivize Job-Creation ) * 10 % of GST collection to get credited in PPF accounts of the Buyer of Goods / Services * GST rate increase (in coming years) to be no more than 5 % of CPI rise in previous year * No questions ( as to the Source ) for cash deposited in Jan Dhan Bank Accounts { Permanent Unlimited Amnesty } * FD Interest / Dividends from Infra Bonds / SPVs to be credited to Jan Dhan A/cs * Introduction of 2 % Bank Transaction Tax ( Revenue gain of Rs 15 Lakh*Crores ) * Announcement of " Start Up Act / 2015 " ( read... hemenparekh / Blogs ) * Introduction of Rs 500/1000 currency notes with embedded RFID / unique IP Address I hope those Business Leaders / Industrialists will take courage from the fact that , initially , all ideas get ridiculed which are aimed at , * Upsetting the existing Social Order * Threatening the vested interests * Destroying the cozy comfort * Democratizing the Economic Powers Then a time comes when those very ideas are appreciated and , later, even admired ! Please , do not miss your " Tryst with the Destiny " ! ------------------------------------------------------------------------------------------------------- hemen parekh 06 Jan 2016 ( Source : hemenparekh / blogs )
      1. S
        Jan 6, 2016 at 9:39 am
        Oil is at $ 30 in-spite of such great advantage our Lawyer turned FM s not capable in controlling the prices of essential vegetable . .CII is not happy with the performance of our economy. Our Lawyer is pointing towards opposition party for the poor performance of economy.. Now he is meddling the affair of Railways.He want to finish railway the way he manage our finance. Some times I feel that FM thinks that he is not ruling the country but site in the opposition
        1. r
          ramu (USA)
          Jan 6, 2016 at 6:34 am
          All that we need is a working toilet, potable water, clean platform with garbage bins and Internet. These can be done with existing allocation or marginally more than that. Why take out an expensive bidding process, bribes, etc.
          1. S
            Sajeev Kumar
            Jan 6, 2016 at 1:10 pm
            You are proving again and again in this forum that you are a disastrous product. It seems that you are un paid since long to the political party whom you used to hoot.
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