Big Promises, Bigger Budget: Can Indian Railways Deliver on Its Ambitious Plans?

The Union Budget for the financial year 2025-26 has laid a strong foundation for the modernization and expansion of Indian Railways, with a record allocation of ₹2,52,200 crore. The total capital expenditure for the railways has been set at ₹2,65,200 crore, underscoring the central government’s commitment to transforming the country’s railway infrastructure.

Under the leadership of Railway Minister Ashwini Vaishnaw, Indian Railways has achieved significant milestones, including the successful connection of Kashmir Valley to the national network and the construction of a cutting-edge Pamban Bridge in Tamil Nadu, set to be inaugurated by Prime Minister Narendra Modi.

The budget prioritizes network expansion, safety, electrification, and modernization of rolling stock. The allocation for new railway lines has surged to ₹32,235 crore, compared to an average of ₹5,075 crore in 2009-14. Similarly, ₹4,550 crore has been earmarked for gauge conversion, and ₹57,693 crore has been set aside for rolling stock, enabling the expansion of Vande Bharat, Namo Bharat, and Amrit Bharat trains.

A substantial ₹32,000 crore has been allocated for doubling and quadrupling busy routes to improve connectivity. Railway safety remains paramount, with ₹1,16,514 crore designated for safety-related projects, including ₹7,000 crore for Road Over Bridges (ROB) and Road Under Bridges (RUB).

The government has also announced plans to manufacture 17,500 non-AC general coaches to cater to lower-middle and middle-class passengers. Further, Indian Railways is set to introduce Vande Bharat Sleeper trains, with the first rake undergoing testing, and 100 non-AC Amrit Bharat trains equipped with advanced features.

Freight transport remains a crucial focus area, with a target of 1,700 million tonnes set for 2025-26, a 4% increase from the revised estimate of 2024-25. The Kavach system, an advanced anti-collision mechanism, is set to be deployed on 10,000 locomotives and 3,000 km of track by December 2025.

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