Union Budget 2026: Major Railway Reforms on the Horizon
The upcoming Union Budget 2026 is set to introduce sweeping reforms for Indian Railways, prioritizing passenger safety and tackling chronic issues like overcrowding and delays, according to sources.
Key Takeaways
- Major funds allocated for modernizing railway infrastructure and safety systems.
- Focus on decongesting routes via dedicated freight corridors and adding new coaches.
- Plan to transform major stations into world-class hubs and improve financial sustainability.
Safety and Infrastructure Overhaul
Finance Minister Nirmala Sitharaman is expected to announce substantial investments for railway modernization. The budget will likely fund the wider rollout of the Kavach anti-collision technology, alongside upgrades to signaling systems and the replacement of old tracks.
Decongesting Routes and Adding Capacity
A significant push to expand dedicated freight corridors aims to free up passenger routes, reducing delays for commuters. To directly address severe overcrowding, the budget may propose a major boost in the production of new coaches and trains. There are also proposals to run more premium services, such as Vande Bharat and Amrit Bharat trains, on busy routes.
Station Redevelopment and Financial Roadmap
Another critical focus is the complete transformation of major railway stations into modern, world-class transit hubs with better amenities and accessibility. Furthermore, the budget is expected to chart a path towards the railways’ financial self-sustainability by improving operational efficiency and exploring new revenue streams. The overarching goal is to build a safer, more efficient, and passenger-friendly Indian Railways by 2030.



