In 2019-20, the capital expenditure of Indian Railways (IR) increased 60 per cent over 2016-17. The draft National Railways plan envisages a further increase in IR's capital expenditure, but an analysis by Business Standard shows that IR has come to depend more on borrowings and budgetary support. In 2016-17, while 11 per cent of its capital expenditure (capex) was funded by internal sources, in 2019-20 the ratio dropped to less than 1 per cent. A 2015 Committee on Restructuring Railways had flagged that over-reliance on borrowings could exacerbate the financial situation of Railways.
Fund balances for the current financial year have already been revised downwards by the ministry from the budgeted Rs 5,062 crore to Rs 3,100 crore.
Suresh Prabhu on the priority being given to safety and the need for more funds for railways to move ahead.
The railways have been able to project improvement in finances.
The entire Budget-making exercise will be advanced by 3-4 weeks so as to complete the legislative part of financial business before April 1, the start of a financial year
The year 2015 has seen eight accidents because of derailments.
Even as Indian Railways is gearing up to roll out high-speed passenger services, it seems set to record its worst performance in three years on accidents.
Ministers may come and ministers may go but the attitude of the RB remains the same forever, and it is this group that really calls the shots in Indian Railways, says S Pushpavanam.
RJD president Lalu Prasad on Thursday said Railway Budget has cheated people as it has nothing to offer.
The twin-train derailments within minutes of each other that killed 25 people in Madhya Pradesh on August 5, 2015, is being blamed on flash floods. S Pushpavanam wonders if that is the only reason.
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