Indian Railways at the Crossroads |
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Background
Besides, the mid-1800s were a period of mutiny and struggle for independence in India, with uprisings in several parts of the country. The British leaders wanted to be able to transfer soldiers quickly to places of unrest. Railways seemed to be the ideal solution to all these problems.
Under this system, any company that constructed railway lines in India was given a guarantee of a five percent return per annum on the capital invested. The company also had the right to pull out from the venture and receive compensation from the government at any time if it was not satisfied with the returns. This helped accelerate the development of railways in the country... 3] V. S. Sambandan, Indian
Railways: Preparing for Another Sunrise, The Hindu, August 30, 2001. |
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