Chinese investment and technology could help India upgrade its rail network

Sunday’s horrific train accident in India, which killed at least 142 people, has renewed concerns about the poor maintenance of the country’s rail network. India is in urgent need of upgrading and China can offer the necessary help.

According to the BBC, citing junior railway minister Manoj Sinha, the train derailment could have possibly been caused by a fracture in the track which jammed the train’s wheels. Accidents are common on India’s dilapidated rail network, which is the most popular mode of long- distance transport for locals but has long suffered from underinvestment.

The Modi administration unveiled plans in 2015 to invest $ 137 billion on its rail network, which is the world’s fourthlargest. However, after decades of neglect, the capital needed for upgrading the largely colonial- era system will perhaps be much bigger and it will not be plain sailing. China is fairly experienced in financing and developing railway technology, which can perhaps be used as a reference for speeding up construction in the South Asian country. Some East African countries, including Tanzania, are reportedly tending to adopt a “Chinese model” for the development of their rail systems, so why not India?

Following the Indore- Patna Express derailment, India and China may want to speed up cooperation in infrastructure and China could provide direct support for upgrading India’s railways. India currently holds the second- largest portion of shares and voting rights in the China- led Asian Infrastructure Investment Bank, allowing the South Asian country to benefit from the bank’s efforts to improve infrastructure in Asia. Additionally, Chinese banks might provide concessionary loans to India if it allowed more Chinese enterprises to invest in its state- run railway network.

There is also potential for China and India to cooperate in railway technology. China’s technology is advanced even compared with some developed countries and the costs are lower, which are appropriate for being adopted in India. A 2014 research report from the World Bank showed that ticket prices for China’s railway were about a quarter of those in other countries.

Assistance from China is likely to help the South Asian country upgrade its railways, but an open attitude toward Chinese investment in the rail network would be a precondition for bilateral cooperation. Following its deadliest train crash since 2010, hopefully India can achieve greater security for its railways.