New firm will be involved in the development of the proposed federal rail network
The UAE federal government has established the Etihad Trains Company that will be involved in the development of the UAE’s $11bn passenger and freight railway network.
The company will have a total capital of AED1bn. The Abu Dhabi government will pay 70 per cent of this, while the federal government will pay the remaining 30 per cent.
Sheikh Hamdan bin Mubarak Public Works Minister and the chairman of the board of the National Transport Authority together with Nasser al-Suwaidi, chairman of the Department of Economic Development signed the contract for the company. The establishment of Etihad Trains Company was set up by Cabinet Decree No.2 of 2010.
The establishment of the company is part of the UAE Vision 2021, which is a strategic economic plan launched by Sheikh Mohammed bin Rashid al-Maktoum, vice-president and prime minister of the UAE.