Rail fare hike difficult but correct decision: Jaitley

Tags: News
Defending the steep hike in rail fare and freight rates as a 'difficult but correct decision', Finance Minister Arun Jaitley today said the railways can survive only if users pay for availing of facilities.

"The passenger services have been subsidised by the freight traffic. In recent years, even freight fares have come under pressure," he said in his first reaction to the 14.2 per cent increase in passenger fares and 6.5 per cent hike in freight rates.

Stating that the choice before the government was to allow the railways to bleed and eventually walk into a debt trap or raise fares, Jaitley said, "India must decide whether it wants a world-class railway or a ramshackled one.

"The railway minister has taken a difficult but a correct decision...The Indian Railways for the last few years have been running at a loss. The only way that Railways can survive is when users pay for the facilities that they avail."

EDITORIAL OF THE DAY

  • But for market intervention, the govt has no business to be in business

    Selling equity in government owned companies has never been a priority for the Narendra Modi: the government has thus far not professed aggressive equ

FC NEWSLETTER

Stay informed on our latest news!

TODAY'S COLUMNS

Sandeep Bamzai

Cut & Thrust:The mother of all battles

Gassed out after the interminable interplay of the Yadavs in ...

Rajgopal Nidamboor

Of life’s essentiality and synchrony

It is no big deal to think of psychology as ...

Anil Dharker

No women, no Cry

EDM, as you would know if you are young, (and ...