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Blog Entry# 1140244
Posted: Jun 19 2014 (14:46)
4 Responses
Last Response: Jun 19 2014 (19:42)
4 Responses
Last Response: Jun 19 2014 (19:42)
what would be the changes that FDI will bring in Railways like in mass rapid transport systems.
I like to see Bombardier manufactured enhanced technology coaches for IR.
I like to see Bombardier manufactured enhanced technology coaches for IR.
I think F.D.I would be allowed in "Select Projects" like "High Speed Rail Corridor" and some of the "Niche Stuff" as of now......that's what i think and i could be wrong.Bringing F.D.I in large scale could be difficult since "Railway Unions" are pretty strong and you don wanna be seen as an "Enemy".
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if FDI is allowed over Passenger sector or say IR as a whole then foreign companies will only invest to enhance their profitability & thus will have a severe impact on fare structure.For eg,we've Konkan Rly which was established long back but not by the Govt but some external agencies...As a result till date,the distance over KR are 40-50% inflated so passengers are paying 40-50% enhanced fare than what they should be paying for.Had it been solely Indian Rlys,the inflated part would cease to apply as soon as the cost of construction is over(for eg,Saraighat Setu in Assam).but as a private firm,whoever has participated in construction has acted such as a way of investment tool & not to serve the people of the country in general.
P.S.K ji.........yahin pe saari problem aati hey..........if the Govt. instead of having a "Budget Deficit" has a "Surplus",it will be loaded with a lot of "Cash" which then it can spend on "Social Sector" be it - Education,Health or Infrastructure.......at time govt. run projects surpass their "Allocated time period" which in return raises the "Costs" and lead to "higher gestation period" which makes it even harder to recover the money that has been put in and if there is a slowdown of the Economy worldwide and rising inflation and lending rates go up then it puts the projects in even more trouble.
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