Bengaluru: Union Railway Minister Suresh Prabhu today said a joint venture company in partnership with the Karnataka government will be set up in three months to take up railway projects.
“We will start a joint venture company with Karnataka government in which the state will acquire some equity, we will take some equity, and will also leverage the equity by pooling some extra budgetary resources, and these resources will not come into the fiscal responsibility and budget management Act of Karnataka,” Prabhu said.
He said the idea is for the state government to collaborate with the Railways to create fast and accelerated infrastructure for the state.
In February, the Union government had cleared a proposal allowing the Railways to form JV companies with state governments with equity participation to help identify areas that require new railway lines, acquire land for projects and help pool funds as well as jointly monitor these projects.
@Agency report.
