The World bank has approved a US $ 245 million loans to modernize the indian railway sector. As a result, the railways are expected to grow significantly in the freight sector. With 71 percent of freight in india currently passing by the road, modernization of freight transport in the railway sector will increase the volume of freight passing by railways.
Over the past few years, freight traffic in the railway sector has been losing its share and road freight has become the most frequent mode of transport. Due to this, Railways is planning to expand the freight sector again due to many problems including air pollution and road accidents.Following this, the Railway Department sought the World bank to modernize the railway freight. The World bank has now approved a $ 245 million loan to the railway sector. By 2030, the indian Railways is projected to reach zero carbon emissions. Currently, it emits 7.5 million tons of carbon dioxide and other gases each year, polluting the environment, and says that will not be a problem until 2030. Hideki Mori, Managing director and Executive director, World bank of india, said that while reducing greenhouse gases from trains, the new scheme would benefit millions of train passengers in india because the railways reduce congestion by moving cargo to special routes.