Indian Railways capital expenditure rose to a new high in FY16: Report
Indian Railways posts capital expenditure of Rs.94,000 crore in FY16. Picture: A passenger looks through the window of a train as he waits for electricity to be restored at a railway station in New Delhi July 31, 2012.Reuters file Reuters file
The Indian Railways spent Rs. 94,000 crore on capital expenditure in the financial year 2015-16, up 64.91 percent from the previous year when the state-owned rail transporter spent Rs. 57,000 crore. The increase marked a record high, according to the Economic Times.
The transporter has earmarked an even higher amount of Rs. 150,000 crore for capital expenditure this fiscal.
The Narendra Modi government has also apparently raised the gross budgetary support to Indian Railways to Rs. 60,000 crore, up Rs. 20,000 crore from the earlier amount committed, added ET.
While presenting the rail budget for 2016-17, Railway Minister Suresh Prabhu said that state-run life insurance firm Life Insurance Corporation of India (LIC) will be lending
Rs. 150,000 crore to the railways over a five-year period “on favourable terms” to fund various projects.