To improve the old-fashioned Indian Railway system, Indian government is likely to introduce Foreign Direct Investments (FDI) into the Indain Railways said sources. With this investors could lay out $10 billion of foreign investment over the next five years. Government has already taken necessary steps and has appointed a two member team for this. But current policy only allows direct foreign investment in urban metro projects.

According to them, overseas investors will be allowed full ownership of the new services in suburban areas, tracks and connections to ports, mines and power installations. An official of Department of Industrial Policy and Promotion said, “ the plan is allow 100 percent FDIs in suburb areas through public-private partnership.”