Every year in the month of February the Indian government and Finance Minister Nirmala Sitharaman use to present the Union Budget. This year also our respected Finance minister of India had introduced the budget for the fiscal year 2025-26. According to the Rail budget 2025 , the Indian government was introduced to focus on certain important key features such as aiming on economic growth and development, enhancing the financial stability of people, promoting of inclusive development, agricultural advancement, infrastructural development and support for innovation and research.
The Indian budget aims to stimulate growth and development of the Indian economy. The Union Budget 2025 aims to reduce the fiscal deficit in order to provide relief to the middle class family. Apart from that, our finance minister also added that the Indian Economy is growing very rapidly compared to other economies. Apart from other sectors, The Indian Government has introduced the rail budget 2025. Here, in this article we’re going to discuss details about what decision has been taken for Indian Railways in Union Budget 2025.
Top Highlights of Indian Rail Budget 2025
1.Railway Financial Performance
In this budget the Indian Government has decided that the operating Ratio target of the Indian Railways is 98.3 percent in 2025-26. The ratio was 98.90 percent in 2024-25. This means that the Indian Railways spent Rs. 98.43 for earning Rs. 100. It is said that the lower operating ratio is comparatively more efficient for the Indian Railways.
2.Proper Allocation of Capital Expenditure
It is measured that the total expenditure target of the year 2025-26 is approximately Rs.2,62,000 crore. The target is expenditure is all decided by the government of India. The budget for extra budgetary sources will be Rs.10,000 crore, the budget for the Nirbhaya fund will be Rs.200 crore and the budget for internal resources of railways will be Rs.300 crore. The capital expenditure means that the Indian Railways will invest their money on very essential infrastructure of railways.
3.Indian Railways is all set to become the second largest good-carrying railways
Indian Railways has set their target of a total number of 1.6 billion tonnes of foreign traffic by 31st March 2026. If we are successful in achieving this target then the Indian government will become the second largest good-carrying railways in the world after China.
4.100% fully electrification by 31st March 2026
The Indian Railways has also set a target of total 100% electrification of rail routes by 31st March 2026. Many railway routes are already electrified but rest will be completed soon.
5.Main focus on more trains in order to improve passenger convenience
Indian Railways has decided to introduce 200 new Vande Bharat trains, 100 amrit bharat trains, 50 Namo bharat rapid rail and 17,500 general non-AC coaches in the next two or three years.
These are some of the major highlights of Rail Budget 2025. Apart from these Indian Railways had also allocated Rs 1.14 lakh crore rupees for improving the safety standards of Indian Railways.
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