Narendra Modi government has shocked the entire nation by hiking the railways fares and that too massively. The passenger fares have been increased by 14.2 percent while the freight charges were hiked by 6.5 percent and they come effective from Friday midnight.

This proposal to hike the railway fares was brought during the UPA government by then Railway minister Mallikarjun Kharge presenting his interim budget. But the UPA government kept the decision on hold with the view of elections.

Currently, Railways is facing severe financial crisis with passenger subsidy touching Rs 26,000 crores and with the hiked fares, Railways is expecting a revenue of Rs 8000 crores. The Railways which is also planning to expand its routes in Jammu & Kashmir and North-East states. In addition to this there are about Rs 1.5 Lakh crores worth Railway projects in pending.

(AW: Vamshi)