NCRTC Sees 25% Drop in Budget Allocation, Funding Set at Rs 2,000 Crore

NEW DELHI, Feb 2: The Union Budget 2026–27 has allocated Rs 2,200 crore to the National Capital Region Transport Corporation (NCRTC), marking a 25 per cent decline from the previous year’s outlay of Rs 2,918 crore.

The joint venture company, tasked with implementing the Regional Rapid Transit System (RRTS) or Namo Bharat project, received Rs 1,324 crore for revenue expenditure and Rs 876 crore for capital expenditure, according to Budget documents. The investment is aimed at enhancing high speed public transport in the Delhi NCR region, reducing travel times, easing congestion, and lowering pollution.

Under Phase I of the RRTS project, three major corridors Delhi-Ghaziabad-Meerut, Delhi-Panipat-Karnal, and Delhi-Gurugram SNB  will converge at the Sarai Kale Khan station. Future corridors are planned between Delhi-Faridabad-Ballabgarh-Palwal, Ghaziabad-Khurja, Delhi-Bahadurgarh-Rohtak, and Delhi-Shahdara-Baraut. Currently, a 55-km stretch of the 82-km Delhi-Meerut corridor is operational, cutting travel times to under one hour compared to 1.5-2 hours by road.

The Economic Survey highlighted the RRTS as a structural shift in regional mobility, positioning high speed commuter rail as critical economic infrastructure. The project’s financing model  20 per cent from the Centre, 20 per cent from participating states, and 60 per cent from multilateral lenders including ADB, AIIB, and NDB  serves as a replicable framework for urban-regional connectivity investments.

The Namo Bharat RRTS also generates significant employment and inclusion benefits. Construction between 2019 and 2025 created an estimated 166 lakh mandays, while operations are projected to support around 12 lakh mandays annually. Accessibility improvements are expected to expand effective labour markets, reaching nearly 7 lakh people in Meerut and over 1 lakh at Sarai Kale Khan within an hour of commuting.