PMO approves Rs 25,000 Cr investment through Maritime Fund Development

The Prime Minister’s Office has approved a comprehensive three-pronged strategy to advance India’s maritime sector, with a cornerstone initiative of channeling at least Rs 25,000 crore from the Maritime Development Fund (MDF) into port development. Expanding port capacities has been assigned to the Sagarmala Development Company Limited (SDCL), which will transition into a Non-Banking Financial Company (NBFC) by 2025 to facilitate these investments better. This funding will enable the construction of new terminals, breakwaters, and dredging of shallow channels, along with backend infrastructure to improve access for freight trains and trucks. A Ministry of Ports, Shipping, and Waterways official emphasised that the substantial financial boost to SDCL for domestic port investments stands out as a critical step forward. Currently, the 12 major ports face two primary issues: financial constraints and limited physical space. According to a 2023 Crisil report, establishing a container terminal with a capacity of one million TEUs demands an investment between Rs 10