Pakistan Railways: Facing Financial Deficit Despite Record Revenue
Pakistan Railways has achieved the highest revenue in its history during the fiscal year 2025-26. However, despite this record increase, the department is still suffering from a financial deficit and is facing difficulties in meeting its expenses.
According to official figures, the railway earned 115.157 billion rupees this year. This is approximately 24 percent higher compared to the previous year. This is the first time the institution's revenue has reached such a large amount, which is a significant milestone for the department.
Experts say that the main reasons for this increase in revenue are the hike in train fares and the growing number of passengers. Additionally, earnings from freight trains have also played a significant role in this record revenue.
But on the other hand, the costs of rising fuel prices, employees' salaries, and pensions for retired employees have also increased significantly. Due to these heavy expenses, despite the record revenue, the institution has so far failed to earn a profit, and the deficit persists.
The railway administration states that it is working on various projects to improve service and reduce expenses. Improving facilities for passengers and ensuring the punctuality of trains are among the department's top priorities.
Although record revenue is a positive sign, further reforms are still needed to make Pakistan Railways a stable and profitable institution. The government should focus on modernizing the railway system and controlling unnecessary expenses so that the public can receive affordable and quality travel facilities.