Sri Lanka Gets ADB Loan for Railway System Upgrade

News in Asia
Sri Lanka Gets ADB Loan for Railway System Upgrade

The Asian Development Bank has approved a USD 160 million loan to Sri Lanka for modernization of Colombo suburban railway service.

It is the first time ever the country gets a loan for improvement of its railway system. The loan will be spent on electification and upgrade of railway tracks of Kelani Valley Line – from Maradana to Avissawella, Main Line – Maradana to Rambukkana, Coastal Line – Colombo Fort to Kalutara South, and Puttalam Line – from Ragama to Negombo. The overall quality and efficiency of railway system will be also improved to provide a better service to passengers.

With Sri Lanka's fast growing population expected to reach 25 million by 2050 the country does suffer from rather inefficient railway service. Annually, Sri Lanka Railways move 136.7 million passengers and 2 million tons of goods. Yet over the years the market share of the railway transportation has been constantly declining. Railway infrastructure is in poor condition and in need of urgent upgrade. 

Railway transportation is of utter importance for Colombo region as the country's capital suffers congestion with the number of vehicles on Colombo roads doubled between 2008 and 2018. Suburban trains are overcrowded, too.

Transport and Civil Aviation Ministry believes an improved railway system will boost development of services and industries across Sri Lanka. It will also improve considerably connectivity across the country serving a convenient means of transportation for the locals and tourists.

Source

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