Railways Hike Passenger Fares Twice in 2025

The Indian Railways has increased passenger fares twice in 2025, once in July and again on December 26.

The hikes are quite small, leading to questions about their effectiveness.

The latest increase is 2 paise per kilometer for all mail and express trains, but it doesn't cover suburban travel, where fares are very old and low.

The article suggests that the Railways could raise fares more to improve services and reduce the need for subsidies.

It also points out that freight revenues, which make up most of the Railways' income, are not growing fast enough to cover losses from passenger services.

The article recommends creating an independent authority to set fares in a fair and transparent way.