Indian Railways to hike passenger fares: Sources
Indian Railways
is set to increase passenger train fares for the first time since the COVID-19 pandemic. The minor increase in fares will be effective from July 1, 2025. Sources told The Economic Times that the passenger fare for non-AC Mail/Express trains will be hiked by 1 paise per kilometre. The fare hike for AC classes will be 2 paise per kilometre.
Notably, there will be no increase in fare for suburban tickets and second-class travel for 500 kilometres of travel. For distances greater than 500 kilometres, the hike will be half paise per kilometre. Additionally, there will be no hike in the monthly season ticket.
ET Bureau
Here are the revised fares that will come into effect on July 1:
There will be no increase in suburban fares.
Monthly season ticket prices will remain unchanged.
In ordinary second class, there will be no fare hike for distances up to 500 km.
For distances beyond 500 km in ordinary second class, the fare will increase by half a paise per kilometer.
In Mail and Express (Non-AC) trains, the fare will increase by 1 paise per kilometer.
In AC classes, the fare will go up by 2 paise per kilometer.
Earlier this month, Indian Railways made a significant announcement requiring Aadhaar authentication for tatkal train ticket bookings starting July 1, 2025. Through a directive issued on June 10, 2025, the Railway Ministry has informed all railway zones that this new requirement is intended "to ensure that the benefits of the Tatkal Scheme are received by the common end users."
The railways' official notice stated that "With effect from 01-07-2025, tickets under Tatkal scheme can be booked through the website of Indian Railway Catering and Tourism Corporation (
IRCTC
)/ its app only by Aadhaar authenticated users."
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The ministry has also announced that beginning July 15, 2025, travellers will be required to complete an additional step of Aadhaar-based OTP authentication whilst booking tatkal tickets.
The new guidelines established limitations on Tatkal ticket reservations for authorised booking agents of Indian Railways.
These representatives are now barred from booking first-day Tatkal tickets within the initial half-hour window. The restriction is effective from 10.00 am to 10.30 am for AC class bookings and from 11.00 am to 11.30 am for non-AC class bookings.
The railway ministry has directed both the Centre for Railway Information Systems (CRIS) and IRCTC to make necessary system modifications and communicate these changes to all zonal railway divisions. This initiative seeks to streamline the Tatkal reservation process for travellers.
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Confidence in own finances lends comfort to return. Note:'Our financial calculations give us the comfort to go back and pursue different career paths.' DILSHAD BILLIMORIA PRINCIPAL ADVISOR, DILZER CONSULTANTS Note:'Use the RNOR window to transfer your financial assets to India in a phased manner to claim tax exemption and offset against tax already paid overseas.'NRI returnees must prioritise a few things within a few days of turning resident. Get in touch with your banker and convert your NRE (Non-Resident External)/NRO (Non-Resident Ordinary) accounts to a resident savings account, or close them as per RBI guidelines. 'Move funds from NRE, FCNR (Foreign Currency Non-Resident), NRO to local accounts to avoid tax leakages,' Birani says. You can, however, continue to hold your FCNR (B) fixed deposits until maturity. 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Further, get your nominations done across all investments at the earliest. Secure your insurance coverage. 'The insurance policy bought in a foreign country will not cover you in India. Buy comprehensive health and life coverage for you and your family,' Dhawan asserts. Finally, make a will locally even if you had made one previously. Wills executed in foreign jurisdictions will not apply in India, Birani points decision to return is complex. Plan ahead and consult with financial experts well-versed in both the financial landscapes of India and the country of your residence. Be prepared for a settling in period for you and your family. AADAM MAMAJI, 31, Mumbai Lived for 12 years in Canada Returned in 2024 Reasons for move To be part of a growing Indian economy. His story Never planned to come back initially. Feeling of isolation, pull of family prompted move. Now adds value to wealth management business alongside his mother. Note:'If you keep expectations very high, you are setting yourself up for disappointment.'
