Indian Railways Maintains Stable Debt Servicing; Consistent Principal Repayment and Declining Interest Share of Lease Charges Reflect Financial Discipline Over the Last Five Years

The Indian Railway Finance Corporation (IRFC), the market‑borrowing arm of Indian Railways, reported that debt servicing has stabilised over the last five years. Principal repayment rose from ₹14,192 crore in FY 2021‑22 to ₹24,853 crore in FY 2025‑26, while interest payments increased modestly, resulting in a declining share of interest in total lease charges (from ≈ 50 % in 2021‑22 to ≈ 46 % in 2025‑26). The Ministry of Railways notes that growing gross budgetary support for infrastructure and rolling stock has reduced dependence on extra‑budgetary resources. This reflects sustained financial discipline despite the Covid shock.