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The Union Cabinet approved the doubling of Nimach-Ratlam railway line at a total estimated cost of 1,095.88 crore and Rajkot-Kanalus section at an estimated cost of 1,080.58 crore, Union Minister Anurag Thakur announced on Wednesday.

Soon after the announcement, the Ministry of Railways said that the doubling of 111 km Rajkot-Kanalus section and 133 km Nimach-Ratlam section will ensure faster train movement, more goods and passenger trains, and boost the economy.

The doubling of Nimach-Ratlam section will also generate direct employment and help in growth of the region.

Union Railways Minister Ashwini Vaishnaw said, “PM Modi has approved two important rail projects in Cabinet today. First project is in Madhya Pradesh. This project will provide benefits to areas with industrial activities and cultural heritage."

“Second project is in Gujarat, which will reduce logistics costs and increase economic activity. These projects will be completed in next three years," Vaishnaw added.

Meanwhile, the Cabinet also approved capital infusion of 4,400 crore in the state-owned Export Credit Guarantee Corporation (ECGC) and its listing through an initial public offering.

The Centre will inject 4,400 crore in the ECGC over a period of five years beginning 2021-22, Union Commerce Minister Piyush Goyal said while speaking to reporters after the Cabinet meeting.

Goyal also said that 500 crore infusion will be done immediately. The listing of ECGC is likely to happen next year. 

He also said that exports have totalled 185 billion till September 21, 2021 in the current financial year. 

The Cabinet also approved continuation of the National Export Insurance Account (NEIA) scheme and infusion of 1,650 crore Grant-in-Aid over five years. 

Capital infusion in NEIA will help tap the huge potential of project exports in focus market. 

ECGC was established to promote exports by providing credit insurance services to exporters against non- payment risks by the overseas buyers due to commercial and political reasons. 

It also provides insurance covers to banks against risks in export credit lending to the exporter borrowers. Capital infusion in ECGC will enable it to expand its coverage to export-oriented industry particularly labour-intensive sectors. 

ECGC is a market leader with around 85% market share in export credit insurance market in India.

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