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Rail Deal

Nov 04, 2010 (LBO) - Sri Lanka is to enter into a credit agreement with India's Export - Import Bank for an Indian government soft loan of 416 million US dollars to rebuild railways destroyed by war, a spokesman said.
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Media minister Keheliya Rambukwelle said the funds will be used to rebuild three sections of rail track in the north that was destroyed in the 30-year ethnic war that ended in May 2009.
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Ircon International Company, owned by India's ministry of railways, has been given the deal to build the railway network.

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India will provide 185.3 million dollars to build the track from the northern town of Omanthai to Pallai, further north.

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It will also give 81.3 million dollars for the track from Medawachchiya to Madhu and 149.





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7 million dollars for the sections between Madhu and Talaimannar on the north-west.
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