With the year 2022 looks to be a promising year for the Indian Railway when it comes to Union Budget, as per experts, there is an urgent need to increase the budgetary spend for Indian Railways for it to develop capacity, infrastructure and enhance rail freight share ahead of the demand. Capacity expansion over the next few years will be critical for increasing India’s competitiveness as logistics and freight movement by rail will play a critical role to cater to growing demand up to 2050. Besides capacity creation by Indian Railways, track safety, improvement in speed, and digitisation of locomotives and of Indian Railways, is critical for it to be competitive and create new opportunities for private sector participation.
In 2021, FM Nirmala Sitharaman announced Rs 1.1 lakh crore allocation for Indian Railways. Of this, Rs 1.07 lakh crore would be for capital expenditure, announced finance minister. Indian Railways papered a National Rail Plan for India 2030, said finance minister, The plan is to create a future ready railway system by 2030 bringing down the logistic cost for industry is at the core of the strategy to enable Make In India.