Centre allocates ₹1,777cr to upgrade city’s suburban rail network

The state government will contribute an equal amount, ensuring a good infusion of funds that will accelerate the progress of crucial rail projects aimed at easing congestion, improving connectivity, and enhancing passenger convenience

MUMBAI: More than two months after the general budget was announced, Indian Railways on Saturday finally revealed the quantum of funding that has been allotted to improve Mumbai’s suburban rail in 2025-26. An amount of ₹1,777 crore will be provided to the ongoing and proposed projects on Central and Western Railway, which is a 125% increase over the previous year’s budget grant of ₹789 crore.

Mumbai, India. May 17, 2025: General view of the newly renovated Matunga Railway Station in the Central Railway. Mumbai, India. May 17, 2025. (Photo by Raju Shinde/HT Photo) (Hindustan Times)

The projects are part of different phases of the Mumbai Urban Transport Project (MUTP), a major initiative aimed at improving the expansion and capacity enhancement of Mumbai’s suburban railway system. The state government will contribute an equal amount, ensuring a good infusion of funds that will accelerate the progress of crucial rail projects aimed at easing congestion, improving connectivity, and enhancing passenger convenience.

Officials from Mumbai Rail Vikas Corporation (MRVC), which is the implementing authority for MUTP projects, said that despite the scale of ongoing projects, there was no constraint of funds. “With this robust financial backing, key MUTP projects, including new corridors, station upgrades, and improved rail infrastructure, are progressing well, bringing Mumbai’s commuters closer to a faster, safer, and more efficient suburban railway network,” said Vilas Wadekar, chairman and managing director of MRVC.

The ₹1,777 crore allocation by the railway ministry includes ₹100 crore for MUTP-II, ₹800 crore for MUTP-III, and ₹877 crore for MUTP-IIIA. Some of the works include additional rail lines and extension of existing corridors, introduction of air-conditioned local trains and improvement of railway stations.

Central Railway has already begun station improvement works under the Amrit Bharat Station Scheme (ABSS) and has upgraded the suburban stations of Parel, Chinchpokli, Matunga and Wadala. Central Railway authorities have identified a total of 16 stations for major upgradation works across the state.

The ABSS policy was formulated by the railways to modernise stations and provide facilities such as improved station buildings with architectural landscapes, modular sewage treatment plants, resurfaced platforms and improved passenger amenities at stations such as seating, drinking water facilities, enhanced lighting and ventilation. Modernised train indicators and passenger-friendly signage have also been planned.