Indian Railways Spends 39% of FY 2026-27 Capital Expenditure by July

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Himanshu Tiwari

Indian Railways Spends 39% of FY 2026-27 Capital Expenditure by July

New Delhi, August 5: Indian Railways has utilized approximately 39% of its capital expenditure (capex) budget for the fiscal year 2026-27 by July. During this period, the railway has accelerated the expansion of the indigenous train collision avoidance system ‘Kavach’ and modernized tracks to enhance train speeds. This information was shared by the government in Parliament on Wednesday.

In a written response in the Lok Sabha, Union Railways Minister Ashwini Vaishnaw stated that the railway has received a budget allocation of ₹2,93,030 crores for the current fiscal year, out of which ₹1,14,973 crores have been spent by July.

The Rail Minister noted that expenditures related to safety in the railway sector have consistently increased. In the fiscal year 2013-14, ₹39,200 crores were spent on safety measures, which has risen to ₹1,20,389 crores in 2026-27.

Regarding the indigenous Automatic Train Protection (ATP) system ‘Kavach,’ Vaishnaw mentioned that as of July 31, 2026, version 4.0 of Kavach has been implemented over 2,633 route kilometers, including major high-density rail corridors like Delhi-Mumbai and Delhi-Hawrah.

He added that Kavach 4.0 features modern capabilities such as precise location identification, improved signal information in large yards, an optical fiber-based station-to-station interface, and direct integration with electronic interlocking systems. This will facilitate the large-scale expansion of the system across the entire railway network.

According to the Rail Minister, the trackside Kavach system has commenced work on 21,794 route kilometers, covering the Golden Quadrilateral, Golden Diagonal, high-density networks, and other identified rail sections. So far, the Kavach system has been installed in 6,290 locomotives.

Additionally, efforts are ongoing to equip 7,190 more locomotives and 1,200 EMU and MEMU rakes with the Kavach system.

Vaishnaw reported that by June 2026, ₹3,875 crores had been spent on the Kavach project, with a provision of ₹2,066 crores allocated for this project in the fiscal year 2026-27.

The Rail Minister also highlighted that Indian Railways has extensively upgraded its network for operating higher-speed trains. In 2014, only 5,036 kilometers of railway routes could accommodate trains running at speeds of 130 kilometers per hour or more. By 2026, this figure has increased to 24,173 kilometers.

Currently, approximately 81% of the railway network can support trains operating at speeds of 110 kilometers per hour or more, compared to about 40% in 2014.

Ashwini Vaishnaw stated that under the Mission Raftar initiative, the New Delhi-Mumbai and New Delhi-Hawrah corridors of the Golden Quadrilateral are being upgraded for train operations at speeds of up to 160 kilometers per hour.

Providing details on infrastructure development, he mentioned that between 2014 and 2026, Indian Railways constructed 36,429 kilometers of new railway lines. This averages to 8.32 kilometers per day, nearly double the 4.2 kilometers per day recorded between 2009-14.

He noted that as of April 1, 2026, a total of 514 infrastructure projects are at various stages of implementation. These include 169 new lines, 29 gauge conversion projects, and 316 doubling projects, covering approximately 40,000 kilometers of railway routes with an estimated cost of around ₹8.31 lakh crores.

According to the Rail Minister, work has been completed on 12,583 kilometers of railway routes so far, with ₹3.05 lakh crores spent.

Furthermore, he mentioned that Indian Railways trains about 600,000 employees annually through its various training institutes. Special emphasis is placed on digital technology, logistics, and modern freight operations under skill development and capacity-building programs.

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