New Delhi, Sept. 10 -- Indian Railways has proposed giving state governments and local bodies a bigger role in funding and and executing railway projects, particularly new lines and gauge conversion, two people aware of the matter said.

The move is aimed at easing delays caused by land acquisition, statutory clearances and other local-level bottlenecks, while bringing more resources into railway network expansion.

The approach could allow states and local authorities to become financial stakeholders in projects that directly serve their constituencies, the first person said on the condition of anonymity. Projects with strong regional interest could be partly funded and facilitated by the state, with Railways and private investors provid...