The World Bank said it approved a $ 650 million loan for a huge Eastern Dedicated freight Corridor. The corridor will span 1,840 kms (1,140) across the northern heartland of the nation and will facilitate faster and more efficient movement of goods between northern and eastern part of the nation.
“The World Bank is supporting the Eastern Dedicated Freight Corridor (EDFC) as a series of projects in which three sections will be delivered sequentially, but with considerable overlap in their construction schedules,” the WB said in a statement.
Construction of the Eastern Dedicated Freight Corridor will help speed up the carrying of goods between Ludhiana in the west of India and Kolkata in the east, and is part of a series of new freight lines. The World Bank says India needs to ease congestion on its network.
“The Indian Railways urgently needs to add freight routes to meet the growing freight traffic in India, which is projected to increase more than 7 percent annually,”Ben L. J. Eijbergen, the Task Team Leader for the project, said in a statement.