Budget merger: Railway autonomy to stay

Rail, FinMin officials discussing issues like pension, dividend, budgetary support

The rail ministry will have autonomy on fares, tariff revision and market borrowing but pension liabilities, dividend and gross budgetary support are unresolved, with the Cabinet likely to soon approve the merger of the Rail and General Budgets.

"The ministry of railways has its own revenue stream. It decides on capital spending and borrows from the market. Its financial independence will not be taken away," said an official, aware of deliberations between the rail and finance ministries.
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Sources said this week's Cabinet meeting would only decide on