The Ministry of Railways has been granted its highest-ever budgetary outlay in the Union Budget 2026-27, amounting to a substantial Rs 2,78,030 crore. This marks a significant increase from the capital allocation of Rs 2.65 lakh crore in the previous fiscal year, 2025-26, highlighting the government's intensified focus on enhancing rail infrastructure across India.
Record Capital Expenditure for Railways
In addition to the overall budgetary outlay, the national transporter has also secured a record capital expenditure (capex) of Rs 2,93,030 crore for the fiscal year 2026-27. This financial boost is strategically directed towards key areas such as high-speed connectivity, freight operations, and safety enhancements, aiming to modernize and expand India's railway network.
Focus on High-Speed Rail Corridors
The Union Budget 2026 places a strong emphasis on the development of seven new high-speed rail corridors, which are expected to revolutionize train travel in the country. These corridors include:
- Mumbai-Pune
- Pune-Hyderabad
- Hyderabad-Bangalore
- Hyderabad-Chennai
- Chennai-Bangalore
- Delhi-Varanasi
- Varanasi-Siliguri
Railway Minister Ashwini Vaishnaw announced that these projects, spanning nearly 4,000 kilometers, are projected to attract investments of approximately Rs 16 lakh crore. This initiative is set to boost economic growth and improve connectivity between major urban centers.
State-wise Allocation Breakdown
Here is the detailed state-wise allocation for the Railway Budget 2026-27, based on data from the Ministry of Railways:
- Assam & Northeast Region: Rs 11,486 crore
- Odisha: Rs 10,928 crore
- Andhra Pradesh: Rs 10,134 crore
- Bihar: Allocation details pending
- Chhattisgarh: Allocation details pending
- Delhi: Allocation details pending
- Goa: Allocation details pending
- Gujarat: Allocation details pending
- Haryana: Allocation details pending
- Himachal Pradesh: Allocation details pending
- Jammu & Kashmir: Allocation details pending
- Jharkhand: Allocation details pending
- Karnataka: Allocation details pending
- Kerala: Allocation details pending
- Madhya Pradesh: Allocation details pending
- Maharashtra: Allocation details pending
- Punjab: Allocation details pending
- Rajasthan: Allocation details pending
- Tamil Nadu: Allocation details pending
- Telangana: Allocation details pending
- Uttarakhand: Allocation details pending
- Uttar Pradesh: Allocation details pending
- West Bengal: Allocation details pending
Assam and the Northeast region top the list with the highest allocation of Rs 11,486 crore, underscoring the government's commitment to developing rail infrastructure in this strategically important area.
Implications for Indian Railways
The increased budgetary allocation and focus on high-speed corridors are expected to drive significant improvements in rail safety, rolling stock, new line construction, and electrification. This aligns with broader goals of enhancing passenger experience and boosting freight efficiency, contributing to India's economic growth and regional connectivity.
