India inks pact for restoration of war battered Lanka rail road

Colombo, Nov 18 (PTI) India today inked an agreement for the restoration of the Pallai-Kankesanthurai railway line in Sri Lanka's war-torn Northern Province, to be built at a cost of USD 149.30 million. The total cost of the project is USD 149.30 Million and is to be funded as a part of the line of credit of US dollars 800 million, the Indian High Commission said. The southern coastal railway line project is also being funded under an additional line of credit of US dollars 167.4 million provided by the Government of India. The Indian High Commissioner Ashok K Kantha noted the progress of the three contracts signed earlier involving construction of rail-links on the Omanthai-Pallai, Medawachchiya-Madu and Madu-Talaimannar segments. They are expected to be completed on schedule by the middle of 2013. He expressed hope that the work on reconstruction of the railway network in the North, including on the Pallai-Kankesanthurai segment, would be completed by the end of 2013, thereby giving a big boost to connectivity and economic development in Sri Lanka. The completion of these projects, coupled with the implementation of the ongoing projects for rehabilitation of the Kankesanthurai harbour and the restoration of the ferry service between Rameswaram (India) and Talaimannar, would also greatly promote connectivity, bilateral trade and people-to-people exchanges between India and Sri Lanka. PTI