Next 10 years to see very high level of capex in railway sector: Economic Survey

The next 10 years will see a very high level of capital expenditure in the railway sector as capacity growth has to be accelerated, so that by 2030 it is ahead of demand, as per the Economic Survey. Up to 2014, capex on railway was barely Rs 45,980 crore per annum and consequently, the railway was charecterised by high levels of inefficiency and highly congested routes unable to meet the growing demand.

Post 2014, a conscious effort was made to improve the railway sector by substantially increasing the capex, according to Economic Survey 2021-22.

The capex outlay for 2021-22 is Rs 2,15,000 crore which is more than five times the 2014 level. As more projects are taken on hand and several sources of capital funding are developed, capex will increase further in coming years and the railway system will actually emerge as an engine of national growth.