Rail fare hike likely by next month

New Delhi: After Prime Minister Narendra Modi talked of taking unpopular decisions, speculation is rife that the railways would go ahead with the decision to hike passenger and freight fare hike, which was put on hold in May. The railways had in May announced passenger and freight fare hike but within hours put on hold the decision apparently to allow the new government to take the decision. Besides 10 per cent hike in passenger and freight fare, the Fuel Adjustment Cost had also been long overdue. The overall hike in passenger and freight fare could be about 16 per cent as per the decision put on hold in May.

The speculation is rife that the Centre would announce hike in passanger fare and freight in the Rail Budget.