Spending so much on highways

and trains, but is it helping people?

Govt wants to know

-Cre: Resources: The econimics Times

 Members

01 Le Huong Giang

02 Nguyen Hai Anh

03 Le Quynh Anh

04 Nguyen Vu Quynh Anh

 I. Introduction

The finance ministry has proposed that the railways, road transport, and shipping
ministries should conduct productivity tests for their completed projects.

Enable the government to evaluate the impact of these projects

 II.Problems & Solutions

a.Niti Aayog to conduct a study:

-Road transport carries around 65 per cent of the freight
-Rail accounts for approximately 20 per cent
-The higher cost of transportation by road compared to rail and waterways

Solutions: The railway ministry aims to increase its modal share to 40 per cent by 2030
as part of efforts to reduce logistics costs from the current 16 per cent of GDP to the global
average of 8 per cent by 2030.
 II.Problems & Solutions

b.Policy

- Stablish an institutional arrangement mechanism

- Aims to promote the smooth movement of goods by developing multi-modal transport
networks
- emphasized the need for collaborative planning of railway stations, ports, waterways, and
airports to ensure seamless freight movement.
 III.Example for the useful planning

Cre: BBC News

Christian Wolmar, likes to point to the most recently opened new railway in the UK as a
good example of the public good that can come from infrastructure investment.
He is referring to the resurrected Borders railway line which runs south from Edinburgh,
through Midlothian, to Galashiels and Tweedbank.
It opened a year ago with passenger numbers already much higher than predicted.

Mr Wolmar says it is a good example of how railways create wider economic wealth
because it has reduced the amount of traffic on the roads, which helps even those people
who don't use it such as for tourism, it has been highly successful in attracting more
people.
Icons pack: train station