Railway Budget 2026 : Modi government's masterstroke, highest ever funding for railways
In the Union Budget presented in Parliament on February 1, 2026, by Union Finance Minister Nirmala Sitharaman, historic decisions have been announced for Indian Railways. A record fund of Rs 2,93,030 crore has been approved for Indian Railways in this year's budget, making it the largest railway budget ever. This decision by the Modi government will give a major boost to the modernization of Indian Railways, passenger safety, fast transportation, and environmentally friendly development. The government has clearly expressed its determination to take the railway sector to a global standard with the goal of 'Developed India 2047' in mind. Special emphasis has been placed on high-speed railways, security systems, freight, passenger facilities, and digital technology.
Big announcement of 7 high-speed railway corridors
The biggest attraction in this year's railway budget is the announcement of developing 7 new high-speed railway corridors (bullet train routes). These include the routes Mumbai–Pune, Pune–Hyderabad, Hyderabad–Bengaluru, Hyderabad–Chennai, Chennai–Bengaluru, Delhi–Varanasi, and Varanasi–Siliguri. Especially, as the Mumbai–Pune journey will be completed in just 25 to 30 minutes, this project will be a game changer for Maharashtra.
Acceleration of Kavach Safety System
In the backdrop of railway accidents in recent years, the government has announced significant funding for the indigenous safety system 'Kavach'. This system will be rapidly implemented across the country and will prove extremely effective in preventing accidents caused by human error. The system has the capability to automatically stop trains approaching each other on the same track.
East-West Freight Corridor Boosts Trade
For the trade and industry sector, the government has announced the establishment of a new East-West dedicated freight corridor from Surat to Dankuni (West Bengal). This will speed up freight transport, reduce delays in passenger trains, and help control inflation by ensuring faster delivery of goods like coal, steel, and agricultural products.
Expansion of Vande Bharat and Amrit Bharat Trains
The government has focused on increasing the number of Vande Bharat trains for middle-class and general passengers, as well as expanding the network of Amrit Bharat (sleeper and general coach) trains. The modernization of coaches will make travel more comfortable and safe.
Moving Towards Digital and Green Railways
Completely paperless ticketing systems at railway stations, AI-based help centers, and net-zero railways by 2030 are the long-term goals of this budget. The government is determined to make railways environmentally friendly by extensively using solar energy. Overall, the Railway Budget 2026 is considered a decisive step for the future of Indian Railways, not just limited to increased funding.