An agreement to provide Indian assistance of US$ 318 million credit line for the development of the railway sector was signed at the Finance Ministry yesterday.
Prime Minister Narendra Modi, on his first visit to Sri Lanka in March 2015 declared a fresh Line of Credit (LOC) of US$ 318 million for the development of railway sector in Sri Lanka. India has already provided four Lines of Credit for railway sector development in Sri Lanka through its EXIM bank amounting to US$ 966 million.
These credit facilities have been utilized to improve the Southern and Northern railway lines and for the procurement of rolling stock for the Sri Lanka Railways.