The Union Budget has proposed a record budgetary allocation of Rs 2.40 lakh crore to Indian Railways on February 1, 2023. Indian Finance Minister Nirmala Sitharaman in her Railway Budget speech, said the allocation was nine times higher than the amount allocated in the financial year 2013-14.
Order Food on Train The government has proposed to boost capital expenditure by 33%, to Rs 10 lakh crore by 2023-24 which is 3.3 percent of the GDP, according to Ms. Sitharaman. Roads and Railways have been essential in the capital spending drive and have seen an increase in capital expenditures over the last few budgets.
Key Takeaways of Railway Budget 2023
“The total cost will be 3.3 percent of GDP, nearly three times more than the expenditure made in 2019-20. This is a significant increase. it is essential to the government’s efforts to boost employment and growth as well as the increased volume of private investment and serves as an insurance against the global headwinds,” she declared when she delivered the Budget speech.
She also announced that 100 essential infrastructure projects in transport for last and first-mile connectivity for fertilizer, coal, and food grain have been identified. They will be implemented in a priority manner with an investment of up to Rs 75,000 crores, with a portion of that coming in private funds.
With increasing expectations from passengers, the Railways are planning to renovate more than 1000 coaches from top trains like Rajdhani, Shatabdi, Duronto, Humsafar, and Tejas. The interiors of these coaches will be updated with modern designs that will enhance the comfort of passengers.
The Railways was given Rs 1.4 lakh crore as part of the Union Budget for 2022-23, of which Rs 1.37 lakh crore was set aside for capital expenditure, and an amount of Rs 3,267 crore was allocated for revenue expenditure. In 2014, the capital expenditure on the railway was just 45,980 crores per year, and the railway was plagued by a high level of inefficiency as well as highly congestion-ridden routes, unable to handle the ever-growing demand.
Economic Survey 2022-23
The Economic Survey on January 31 stated that the coming 10 years will be characterized by an extremely high amount of capital investment in the railway industry as capacity growth needs to be accelerated to ensure that by 2030, it will be ahead of the demand.
Economic Survey 2023 expects the passengers through Indian Railways to witness growth. During the current financial year, passenger traffic increased by another ten percent, and the number of passengers reached 418.4 crores (up until December 2022). The increased mobility across the country and demand for speedier train services that are more efficient and competitive will help the growth of passengers in the coming years according to the survey.
Also, read: How to Book a Coach in Train?
Question– In which year railway budget was introduced?
Answer– The first Railway Budget was presented by John Matthai for independent India on 20th November 1947 which was the interim Railway Budget.
Vande Bharat in Union Budget
Railroad experts have highlighted the necessity of upgrading major tracks to 160 KMPH speed so that they can run trains like the Vande Bharat trains to their maximum potential.
Indian Railways has been focussing on the introduction of 75 Vande Bharat trains by August 2023. The tender to manufacture 200 Vande Bharat sleeper trains is likely to be announced in the near future. It is expected to be awarded soon. Vande Bharat Express trains are chair car services that are gradually taking over Shatabdi Express trains on the Indian Railways network. These sleeper trains that are part of Vande Bharat Express will look to replace the high-end Rajdhani Express trains.
Furthermore, Economic Survey 2023 has recognized the launch of Vande Bharat trains as an important initiative of Indian Railways. Self-propelled semi-high-speed Vande Bharat Trainsets are developed at the Integral Coach Factory, Chennai, and incorporated indigenous work. These trains feature modern features such as quick acceleration, a dramatic reduction in time to travel as well as a top velocity of 160 km/h, onboard information and entertainment, as well as a Global Positioning System (GPS) built-in passenger information system as well as other features The Survey states.
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Ms. Sitharaman, while presenting her Budget for 2023-24 stated that the government hopes to build upon the success of the previous budget as well as the plan for India @ 100.
In an embroidered red saree, with a golden and black border, Ms. Sitharaman stayed true to the custom she started in the year 2019. She carried her Budget Speech in a bahi-khata in the briefcase. She carried a tablet computer in a red bahi-khata pouch.
This Union Budget (railway budget) 2023 is the final full budget of the Modi government during its second term, with the following Lok Sabha election due in April – May 2024.