NEW DELHI, Republic of India. General Electric has won a $2.6bn (£1.7bn) contract from the Indian government to build a fleet of new trains for the country.
The US-based industrial company said it would supply India will 1,000 new diesel trains over the next 11 years.
The deal includes a $200m investment by GE to build new plants and warehouses.
GE chief executive Jeff Immelt said: “This infrastructure project is further evidence of India’s position as a growth engine for Asia.”
The agreement is the largest that GE has reached with the Indian government in the 113 years that the company has operated in the country.
The India government has been taking steps to improve the country’s railways which are old and overcrowded. The country plans to spend $137bn over the next five years to modernise the system.
The plan is part of Indian Prime Minister Narendra Modi’s ‘Make in India’ scheme. The programme is intended to attract foreign investment to boost manufacturing in India.
GE has agreed to set up a manufacturing plant in the Marhowra district in the Indian state of Bihar along with maintenance sheds in Punjab and Gujarat.
Credit: BBC
