Indian Railways’ Capital Expenditure in FY25

Indian Railways has achieved a significant milestone in the fiscal year 2024-25 (FY25) by surpassing ₹2 lakh crore in capital expenditure (capex), accounting for 76% of its budgetary allocation.

Budgetary Allocation and Expenditure Breakdown

Total Budgetary Allocation: The Union Budget for FY25 allocated ₹2.65 lakh crore to Indian Railways, with a Gross Budgetary Support (GBS) of ₹2.52 lakh crore.

Expenditure Achieved: By December 2024, Indian Railways expended approximately ₹1.91 lakh crore from the GBS, ₹824 crore from external resources, and ₹8,733 crore from extra-budgetary resources, totaling over ₹2 lakh crore.

Focus on Infrastructure Development

The substantial capex underscores Indian Railways’ commitment to enhancing infrastructure, including capacity augmentation, modernization of facilities, and safety improvements.

Historical Context and Future Outlook

This achievement reflects a consistent increase in capital investments by Indian Railways in recent years, aiming to bolster efficiency and service quality. The current expenditure trajectory indicates a strong likelihood of meeting or exceeding the annual budgetary targets by the end of FY25.

Summary of the news