The Union Budget 2017-18 estimated that the overall earnings will rise to Rs 189,498.37 crore (US$ 28.42 billion) in 2017-18, compared to Rs 172,305 crore (US$ 25.84 billion) in the current fiscal year 2016-17.
Revenue growth for Indian Railways has been strong over the years. During FY07-15, revenues increased at a compound annual growth rate (CAGR) of 7.9 per cent to reach US$ 26.4 billion in FY16. Revenues are expected to expand at a CAGR of 13.4 per cent during FY07�20.
Freight and Passenger earnings are the two largest components of revenues for Indian Railways. In FY15, Indian Railways generated US$17.7 billion in earnings from commodity freight traffic, much higher than passenger earnings of US$7.1 billion.
In the last eight years, revenues from the commodity freight and passenger segment have expanded at a CAGR of 8.7 per cent and 8.2 per cent, respectively.