As India aims to become the third-largest economy with a projected GDP of $5 trillion in the next three years, the Railway Budget 2024-25 is expected to play a pivotal role in infrastructure development. Key expectations include significant budgetary allocations, high-speed rail projects, safety upgrades, environmental sustainability, digital transformation, and modernisation of railway stations and coaches.
Key budget expectations for Railways
- Increased budgetary allocation: A significant increase in funding is anticipated to expand and modernise the railway network, making it more efficient, safe, and reliable.
- High-speed rail projects: Continued funding for projects like the Mumbai-Ahmedabad corridor, utilising Japan's Shinkansen technology, is crucial for revolutionising Indian rail travel. Budget allocation for this project is expected to rise from Rs 25,000 crore in February 2024.
- Safety upgrades: Dedicated funds for track renewal, advanced signalling systems, bridge strengthening, and the Kavach safety system are essential to enhance passenger and cargo security.
- Environmental sustainability: Substantial investments in rail line electrification and green initiatives are expected to promote sustainability and reduce the railways' carbon footprint.
- Digital transformation: Resources are anticipated for technologies like IoT, AI, automation, and blockchain to modernise the railway sector, improve services, and reduce costs.
- Dedicated freight corridors: Support for completing existing DFCs and initiating new ones is crucial for enhancing freight efficiency and reducing passenger line congestion.
- Modernisation of stations and coaches: Investments in upgrading railway stations and introducing modern, high-capacity coaches are expected to improve passenger comfort and services.
Previous measures and government commitments
The government's commitment to railway infrastructure is evident from the increase in budget allocation from Rs 1.10 lakh crore in FY 2021-22 to Rs 2.52 lakh crore in the FY 2024-25 interim budget. This substantial funding aims to drive infrastructure development and economic growth.
By focusing on expansion, modernisation, sustainability, and technological integration, the Railway Budget 2024-25 has the potential to transform Indian Railways into a world-class network, contributing significantly to India's economic development and global competitiveness.
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