Railways cuts outlay to get back on track

Written by Rajat Arora | New Delhi | Updated: Jan 23 2014, 12:40pm hrs
Facing a shortfall of R7,000 crore in passenger and freight receipts from the budget estimates, Indian Railways is set to cut its plan outlay by a similar amount, reports Rajat Arora in New Delhi. Sources said the national transporter has decided to slash its Plan outlay for 2013-14 to R56,000 crore from R63,000 crore estimated in the last rail budget. A 10% reduction in expenditure could hit the railways modernisation and expansion projects, which were any under-provided for, owing to the high (and unhealthy) operating

ratio of 88%. Sources say safety measures wont be compromised

but independent experts doubt this.