Public-private partnerships (PPPs) are everywhere — airports, roads and now the government is looking for private operators to takeover some of its waterways too. The idea is to team up with private firms to fund, build and operate infrastructure together for better services. But when it comes to the Indian Railways, private players are just not interested. Back in 2019, the government tried to get private companies to run about 150 passenger trains. But the plan flopped. Companies didn’t see the returns. High costs, low profits. Not exactly a dream deal. So, what’s the real problem, you ask? Well, the Railways spends ₹98 for every ₹100 it earns. Passenger fares don’t even cover costs. In fact, it's the profits from carrying freight that keep things running. And problems like these might make it seem like private players have to fix a lot of things before taking over. So maybe it’s time for gradual fare hikes and smarter operations? After all, China transformed its rail network by fixing the basics first. Should India take a leaf out of their book? Read today's newsletter to know the full story. https://finshots.in/archive/why-indian-railways-struggles-with-privatisation-ashwini-vaishnaw/