The Union Budget 2025-26 has brought a major boost to Indian Railways, with Union Railways and IT Minister Ashwini Vaishnaw calling it "amazing." With a record allocation of INR 2,52,000 crore as gross budgetary support—the second consecutive year of such significant funding—the government aims to enhance railway infrastructure, safety, and passenger experience across the country.
The introduction of 200 new Vande Bharat trains, 100 Amrit Bharat trains, and 50 Namo Bharat rapid rail services over the next two to three years is one of the budget's most intriguing announcements. In addition, 17,500 additional general coaches without air conditioning will be installed, increasing accessibility for tourists on a tight budget. These projects have the potential to revolutionise rail travel by providing customers with both elegance and affordability.
The budget has earmarked INR 4,60,000 crore for railway infrastructure projects, ensuring faster and more efficient train services. A significant portion—INR 1,16,000 crore—is dedicated to railway safety enhancements, which will include modernized signaling systems, track upgrades, and additional safety measures to prevent accidents.
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Mr. Vaishnaw stressed in his remarks following the budget announcement that railway improvements would create jobs in addition to improving connectivity. It is anticipated that the increased investment will result in the creation of thousands of new employment, ranging from operational to railway construction. In order to maintain the financial viability of current and upcoming projects, the budget also allocates INR 706 crore for market borrowing and debt servicing.
Indian Railways is expected to become the world's second-largest goods carrier by the conclusion of the current fiscal year, transporting an estimated 1.6 billion tonnes of cargo. By 2047, the government intends to construct a 7,000-kilometer high-speed rail network, enabling trains to reach speeds of up to 250 km per hour. Through improving the efficiency of logistics, this initiative will revolutionise passenger travel and promote economic growth.