GE will build a $200 million manufacturing facility in Bihar as part of an 11-year deal. GE will also form a joint partnership with the Indian Railways.
GE CEO Jeff Immelt said ‘the project is further evidence of India’s position as a growth engine for Asia. It is a major advancement and milestone for both India and for GE’.
Railway reform has been among the top priorities of PM Narendra Modi who has opened up the sector to foreign investment as part of his ‘Make in India’ campaign, a program that aims to turn India into a global manufacturing hub and has already attracted General Motors and Foxconn.
The GE deal, the largest in the company’s 100-year history in India, is the latest signal that Modi is serious about making the railway system more efficient.