Union Budget 2026: Nirmala Sitharaman Announces Seven High-Speed Rail Corridors as ‘Growth Connectors’
- Aditya
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Kerala Left Out as Union Budget 2026 Skips High-Speed Rail Despite State Push for Thiruvananthapuram–Kannur Corridor
Finance Minister Nirmala Sitharaman, while presenting the Union Budget 2026–27, announced the development of seven new high-speed rail corridors across India, marking a major step towards modernising the country’s passenger rail infrastructure and promoting environmentally sustainable transport systems.
The announcement was made during her ninth consecutive Budget speech in Parliament on Sunday, February 1, 2026—the first time in India’s history that a Union Budget has been presented on a Sunday.
Calling the proposed corridors “growth connectors”, Sitharaman said the initiative aims to reduce travel time, improve long-distance mobility, strengthen logistics efficiency, and support balanced regional development across multiple regions of the country.
Seven High-Speed Rail Corridors Announced in Union Budget 2026
According to the Finance Minister, the seven proposed high-speed rail corridors will connect some of India’s most important economic, industrial, technological, and cultural centres, spanning western, southern, northern, and eastern India.
List of Proposed High-Speed Rail Corridors
Mumbai – Pune
Pune – Hyderabad
Hyderabad – Bengaluru
Hyderabad – Chennai
Chennai – Bengaluru
Delhi – Varanasi
Varanasi – Siliguri
The corridors are designed to link technology hubs with manufacturing centres, improve passenger mobility between major urban clusters, and strengthen connectivity across regions that play a key role in India’s economic growth.
Focus on Environmentally Sustainable Passenger Transport
During her Budget speech, Sitharaman emphasised that the high-speed rail corridors are part of the government’s broader push to develop an environmentally sustainable passenger transport system.
By shifting long-distance travel from roads and short-haul aviation to high-speed rail, the government aims to:
Reduce carbon emissions
Improve energy efficiency
Decongest highways and airports
Promote cleaner modes of mass transport
Kerala Left Out as Anticipation Builds Over Semi-High-Speed Rail Project
One notable aspect of the announcement was the absence of any high-speed rail corridor for Kerala.
This comes despite the Kerala State Budget, presented on Thursday, January 29, 2026, referring to a proposed semi-high-speed rail project connecting Thiruvananthapuram and Kannur.
There had been widespread anticipation that the Union Budget 2026 would provide clarity on the future of the proposed semi-high-speed rail project, which remains one of the most keenly awaited infrastructure announcements in the State. However, no specific mention or allocation was made in the Union Budget.
Also Read | Budget Session 2026: Structure and Timeline
India’s Existing High-Speed Rail Project: Mumbai–Ahmedabad Corridor
At present, India has only one high-speed rail project under construction—the Mumbai–Ahmedabad High-Speed Rail Corridor.
Key Details of the Mumbai–Ahmedabad Project
Length: 508 km
Designed speed: 320 kmph
Travel time: 2 hours and 17 minutes
States covered: Gujarat, Maharashtra, Dadra and Nagar Haveli
This bullet train project serves as the template for future high-speed rail corridors proposed in Budget 2026.
Dedicated Freight Corridor and National Waterways Also Announced
In addition to passenger rail, Sitharaman announced major initiatives to strengthen freight and multimodal transport.
East–West Dedicated Freight Corridor
The Finance Minister announced a new dedicated east–west freight corridor, connecting:
Dankuni (West Bengal) in the east
Surat (Gujarat) in the west
The corridor is expected to significantly improve freight movement, logistics efficiency, and cargo sustainability across the country.
22 New National Waterways to Be Operationalised
Sitharaman also proposed the operationalisation of 22 new national waterways over the next five years.
According to the Finance Minister, these waterways will:
Promote multimodal transport
Reduce logistics costs
Support sustainable cargo transportation
Decongest road and rail freight networks
“These initiatives will strengthen freight movement and support sustainable cargo transportation,” she said.
Infrastructure Push in Tier II and Tier III Cities
The Finance Minister said the Prime Minister Narendra Modi–led government will continue to prioritise infrastructure development in cities with populations above five lakh, particularly Tier II and Tier III cities.
These cities, she noted, have expanded to become “growth centres”, playing an increasingly important role in India’s economic landscape.
Public Capital Expenditure Set at ₹12.2 Lakh Crore
Reaffirming the government’s infrastructure-led growth strategy, Sitharaman proposed a public capital expenditure of ₹12.2 lakh crore for the financial year 2026–27.
The allocation is aimed at:
Boosting economic growth
Supporting large-scale infrastructure projects
Crowding in private investment
Budget Guided by Three ‘Kartavyas’, Says Sitharaman
Explaining the philosophy behind the Union Budget, Sitharaman said it was inspired by three kartavyas (responsibilities):
Accelerate and sustain economic growth by enhancing competitiveness
Fulfil aspirations of citizens
Ensure every family, community, and region has access to resources and opportunities
Summing up the government’s reform agenda, the Finance Minister said:
“The ‘Reform Express’ is on its way.”
Why the High-Speed Rail Announcement Matters
The announcement of seven high-speed rail corridors in Union Budget 2026 signals:
A decisive push towards modern passenger rail infrastructure
Integration of economic growth with sustainability
Long-term planning for balanced regional development
Expansion of India’s transport vision beyond a single bullet train corridor
As India’s economy grows and urbanisation accelerates, high-speed rail is expected to play a critical role in shaping future mobility.
Union Budget 2026 High-Speed Rail FAQs
Q. What are the high-speed rail corridors announced in Union Budget 2026?
Ans. In Union Budget 2026, Finance Minister Nirmala Sitharaman announced seven proposed high-speed rail corridors connecting Mumbai–Pune, Pune–Hyderabad, Hyderabad–Bengaluru, Hyderabad–Chennai, Chennai–Bengaluru, Delhi–Varanasi, and Varanasi–Siliguri. These corridors are intended to improve long-distance passenger mobility and regional connectivity.
Q. Why did the government announce seven high-speed rail corridors in Budget 2026?
Ans. The government announced the seven high-speed rail corridors to modernise India’s passenger rail system, reduce travel time between major cities, improve logistics efficiency, and promote environmentally sustainable transport. The corridors are also expected to support balanced regional development by linking economic and industrial hubs.
Q. Which regions will benefit from the new high-speed rail corridors?
Ans. The proposed corridors will benefit western, southern, northern, and eastern India by connecting major cities such as Mumbai, Pune, Hyderabad, Chennai, Bengaluru, Delhi, Varanasi, and Siliguri. They aim to link technology hubs, manufacturing centres, and high-population regions across multiple states.
Q. Why was no high-speed rail corridor announced for Kerala in Budget 2026?
Ans. Despite expectations, no high-speed rail corridor was announced for Kerala in Union Budget 2026. This is notable because the Kerala State Budget, presented on January 29, 2026, referred to a proposed semi-high-speed rail project connecting Thiruvananthapuram and Kannur, which remains one of the state’s most awaited infrastructure proposals.
Q. What is India’s only existing high-speed rail project?
Ans. India’s only high-speed rail project currently under construction is the Mumbai–Ahmedabad High-Speed Rail Corridor. The 508-kilometre project is designed to operate bullet trains at speeds of up to 320 kmph and is expected to cover the distance in about 2 hours and 17 minutes.
Q. How do the new high-speed rail corridors support environmental sustainability?
Ans. According to the Finance Minister, the proposed high-speed rail corridors will help develop an environmentally sustainable passenger transport system by shifting long-distance travel from roads and short-haul flights to energy-efficient rail, thereby reducing emissions and congestion.
Q. What other rail and transport projects were announced in Union Budget 2026?
Ans. Apart from high-speed rail corridors, the Budget announced a new dedicated east–west freight corridor connecting Dankuni and Surat, operationalisation of 22 new national waterways over five years, and continued focus on multimodal transport to reduce logistics costs.