Union Budget 2024- Get all the live Updates

HIGHLIGHTS & ANALYSIS

Interim Budget 2024 – 25

The interim budget 2024-25 allocated Rs 2.52 lakh crore for Railway sector for Fiscal Year 2024-25, a 5.7% increase over the previous year.

Brief Updates:

• Three (03) Major Economic Railway Corridor Programmes to be Implemented, this project is identified under PM Gati Shakti initiative, these are mentioned under below:
  • Energy, Mineral and Cement Corridor
  • Port Connectivity Corridor
  • High traffic density corridor
• These 3 economic programmes will accelerate our GDP growth and reduce logistic cost.
• Through these 3 corridors, about 40,000 Km of new track will be laid which will significantly increase railway capacity and reduce pollution as railways can save up to 90% CO2 emissions in a cost effective manner.
• 40,000 normal rail coaches to be converted to Vande Bharat standards to enhance safety, convenience and comfort of the passengers.
• Vande Bharat and Namo Bharat network to be expanded, and Metro Rail to be extended to the cities. The Railway connectivity via (Samudra Marg) will also be further implemented.
• The investment of Rs. 1,08,000 Crore has started in Safety System for better movement of the trains and convenience for the passengers.
• The target for setting up new tracks is 5500 km as against 5200 km last year.
• Rs. 36,091.21 Crore allocated for New Rail Lines.
• Rs. 6,500 Crore allocated for Electrification Projects.
• Rs. 30,000 Crore allocated for Doubling Projects.
• Rs. 53,086.09 Crore allocated for Rolling Stock.
• Rs. 4,533.76 Crore allocated for Gauge Conversion.
• Rs. 5,508 Crore allocated to South Eastern Railway.
• Rs. 12,173 Crore allocated to Southern Railway.
• Rs. 14,232.84 Crore allocated to South Central Railway.

State-wise allocation of funds for railway infrastructure and safety projects:

• Rs. 2,577 Crore allocated to Delhi.
• Rs. 7,234 Crore allocated to Jharkhand.
• Rs. 15,143 Crore allocated to Madhya Pradesh.
• Rs. 6,896 Crore allocated to Chhattisgarh.
• Rs. 10,032 Crore allocated to Bihar.
• Rs. 8,587 Crore allocated to Gujarat.
• Rs. 10,536 Crore allocated to Odisha.
• Rs. 13,810 Crore allocated to West Bengal.
• Rs. 15,554 Crore allocated to Maharashtra.
• Rs. 10,369 Crore allocated to North East.
• Rs. 4,933 Crore allocated to Punjab.
• Rs. 2,744 Crore allocated to Kerala.
• Rs. 6,331 Crore allocated to Tamil Nadu.
• Rs. 2,681 Crore allocated to Himachal Pradesh.
• Rs. 2,861 Crore allocated to Haryana.
• Rs. 5,120 Crore allocated to Uttarakhand.
• Rs. 19,575 Crore allocated to Uttar Pradesh.
• Rs. 3,677 Crore allocated to Jammu & Kashmir.
• Rs. 9,782 Crore allocated to Rajasthan.
• Rs. 7,524 Crore allocated to Karnataka.
• Rs. 5,071 Crore allocated to Telangana.
• Rs. 9,138 Crore allocated to Andhra Pradesh.

Post Budget Insights by Industry Experts:

“The Union Budget promises to drive development and innovation, taking India’s infrastructure to the next level and by bringing together its transportation ecosystem for rail, road, aerospace and more to benefit individuals and businesses alike. The continued focus on infrastructure with an increased outlay of INR 11.11 lakh crores in FY25 will play a key role in boosting India’s economic growth. As the frontrunners in sustainable mobility and drivers of India’s rail revolution, the announcement of metro and NaMo Bharat expansion, three major railway corridor programs and transformation in existing rail ecosystem will create opportunities for us to introduce world class rolling stock, rail equipment & infrastructure, signalling and services in India. It will not only strengthen the overall efficiency of the transportation network but also improve the reliability and safety of passenger trains.”

– Mr. Olivier Loison, Managing Director – Alstom India

“We are thrilled to see the government’s commitment to bolstering the nation’s infrastructure across various sectors. The vision outlined, encapsulating Sabka Vikas, Sabka Vishwas, Sabka Saath along with the aspiration for a Developed India by 2047, resonates deeply with our own dedication to contributing to the country’s growth and prosperity. Furthermore, the proposed expansion of Metro Rail initiatives like Namo Bharat to additional cities reflects a forward-looking approach to urban transportation and sustainable development. The implementation of major railway corridor programs under PM Gati Shakti underscores the government’s focus on improving logistics efficiency, which is vital for driving economic growth and competitiveness.”

– Mr. Sandeep Gulati, Managing Director, Egis India

“We welcome the growth oriented interim budget 2024-2025 with a clear roadmap for a new and empowered India. This budget has the vision of ‘Jan Kalyan’ (Public Welfare) and Viksit Bharat (Developed India) with the idea of inclusive growth. It has a clear imprint of the government’s mantra ‘Sabka Saath, Sabka Vikas, and Sabka Vishwas’. It is a visionary budget with special focus on infrastructure development, inclusive growth and skilling youth. The agenda of empowering Amrit Peedhi (the emerging generation) through multiple schemes and initiatives (Skill India Mission, PM Mudra Yojna and Start-Up India) is quite evident in the budget. These initiatives are assisting our youth and entrepreneurs while delivering amazing results.”

– Mr. Ashish P. Dhakan, MD & CEO, Prama Hikvision India Pvt. Ltd.

“The Interim Budget 2024 for the railway sector paints a picture of transformative growth, blending financial prudence with an innovative vision. As the railway tracks carry the promise of progress, the nation eagerly anticipates the realisation of these initiatives that are set to redefine the future of India’s transportation landscape. In a pivotal moment for India’s railway sector, the Interim Budget 2024 has unfurled a roadmap that blends fiscal prudence with transformative vision. With key insights into the railway landscape, this budget not only amplifies capital expenditure but also paves the way for innovative strides in research and development.”

– Mr. Harshit Gupta, Chartered Accountant, MBA in Finance

“We welcome the government’s focus on infrastructure creation which is expected to be an economic force multiplier and also lead to a positive cascading effect on ancillary industries and lend to job creations. The multifarious initiatives to boost agricultural productivity is also a part of the piece. This infrastructure push, which entails development of triple railways corridors as well as the construction of airports is expected to catalyse investments and spur demand in sectors such as steel, cement, iron ore and transportation. Maccaferri is uniquely poised to partner with the government in this transformative journey which is ultimately expected to propel India into the growth orbit of the top three economies of the world.”

– Mr. Vikramjiet Roy, Managing Director, Maccaferri India

“The two strong takeaways for us in this budget are the continued push on housing and the focus on triple rail corridors, both of which underscore the government’s economic priority of leveraging infrastructure creation as a growth multiplier. As a market leading player in home and building materials, we believe this plays to our strengths and we are well poised to leverage the opportunity. Our Pipes & Construction Chemicals business and our technology leading AAC blocks, panels and boards could provide great support to the government’s continued push towards housing for all including India’s burgeoning middle class. This focus on infrastructure creation will augment India’s domestic manufacturing capacity and ensure continued high orbit economic growth for the foreseeable future.”

– Mr. Akshat Seth, MD & CEO, HIL Limited

“The 11.11 lakh crore strong infrastructure push, supported by the three railway corridors, as well as the continued focus on housing for the middle class, underscores the government’s unrelenting attention towards bolstering domestic infrastructure. This push is expected to spawn its own ecosystem of ancillary players, equipment OEMs, and heavy machinery players. GMMCO is uniquely poised to leverage the emerging opportunities and play a significant role in contributing to India’s infrastructure push, in sync with PM Modi’s vision of Atmanirbhar Bharat.”

–  Mr. Chandrashekar V, MD, and CEO of GMMCO

“Vishwa Samudra Group commends the Interim Budget’s focus on boosting capital expenditure by 11% to over ₹11 lakh crore that will lead to asset creation in the economy. We are keen to collaborate with the government on building new ports and infrastructure corridors. With our substantial experience in infrastructure development, we are well-positioned to support this vital push to strengthen India’s economic expansion.”

–  Mr. Anil Yendluri, Managing Director, Vishwa Samudra Group

“The Interim Budget presented today highlights the government’s intent to continue its focus on inclusive and sustainable development. The government stands committed with a special emphasis on empowering the poor, women, youth, and farmers and is focused on driving policies that resonate with their aspirations. As a responsible brand focused on implementing sustainability, we are pleased to see the government’s focus on promoting electric vehicles (EVs) which is a visionary step towards environmental sustainability as well as overall economic growth. Additionally, the commitment towards expanding the e-vehicle ecosystem brings an exciting prospect for the youth, which will create employment opportunities that align with the demands of the future. The introduction of biomanufacturing and bio-foundry schemes is also a welcome move that will be a great alternative to bio-degradable production.”

–  Mr. Rohit Saboo, President & CEO, National Engineering Industries Ltd.