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Indian Railways: Lowest Fares, Highest Passenger Count
12 Feb
Summary
- Over 720 crore passengers annually travel on Indian Railways.
- Non-AC coaches constitute 70% of the fleet, serving budget travel.
- Indian Railways provides a significant annual subsidy of ₹60,466 crore.
Indian Railways supports an annual passenger volume exceeding 720 crore, operating with a fleet predominantly composed of non-AC coaches. As of February 11, 2026, these non-AC coaches represent approximately 70% of the total rolling stock, offering around 78% of the available seating capacity. This infrastructure caters to a steadily increasing demand for general and unreserved class travel.
To accommodate this growth, Indian Railways has recently introduced 245 new train services and extended 101 others. The network plans to manufacture 17,000 non-AC coaches over the next five years, ensuring continued service for low and middle-income passengers. Despite these expansions, Indian Railways maintains fares among the lowest globally.
This affordability is sustained through significant financial support, with a subsidy of ₹60,466 crore provided in the 2023-24 fiscal year. This amounts to an average concession of 45% for passengers, with additional concessions available for specific categories. Fare rationalizations have been minimal, with no hikes for suburban services or season tickets in a decade.
