CALCULATE YOUR SIP RETURNS

RailTel Secures ₹886.65 Crore Central Railway Contract For Network Infrastructure

Written by: Aayushi ChaubeyUpdated on: 14 Jan 2026, 10:43 pm IST
RailTel secured an ₹886.65 crore Central Railway contract to build IP-MPLS network infrastructure across five major railway divisions.
Railtel
ShareShare on 1Share on 2Share on 3Share on 4Share on 5

RailTel Corporation of India Ltd has secured a major domestic infrastructure contract worth ₹886.65 crore from Central Railway, strengthening its role in modernising railway communication systems. The company received the Letter of Acceptance (LoA) on January 14, 2026, marking a key addition to its project portfolio.

Details Of The Central Railway Contract

The contract involves the supply, installation, testing and commissioning (SITC) of IP-MPLS network equipment across multiple railway divisions. The project will be executed across stations in the Mumbai, Pune, Solapur, Bhusawal and Nagpur divisions of Central Railway.

The overall objective of the project is to create a unified communication network for Indian Railways, improving connectivity and operational coordination across key regions. The project is scheduled to be completed by January 13, 2027, giving RailTel a 13-month execution timeline.

Focus On Advanced Network Technology

The project centres on deploying IP-MPLS (Internet Protocol – Multiprotocol Label Switching) technology. This advanced networking solution is designed to improve data transmission, network reliability and operational efficiency.

By implementing a modern and unified communication framework, the project aims to support smoother railway operations and enhance digital capabilities across the Central Railway network. The scale of the project reflects a broad push towards infrastructure modernisation within Indian Railways.

Contract Nature And Compliance Details

The agreement is a purely domestic project with no international components involved. RailTel has confirmed that the contract does not involve any related party transactions, and that promoter groups or group companies have no interest in the awarding entity.

The project falls squarely within RailTel’s core area of expertise, which includes telecom and network infrastructure services for Indian Railways and other government bodies.

Strategic Importance For RailTel

The ₹886.65 crore order significantly strengthens RailTel’s order book and reinforces its standing as a key technology partner for Indian Railways. The size and scope of the project highlight continued confidence in the company’s execution capabilities and technical expertise.

The project also aligns with the wider digitisation and connectivity initiatives underway across the railway sector, positioning RailTel as an important enabler of long-term infrastructure upgrades.

RailTel Share Price Performance

RailTel share price has shown mixed performance across timeframes. While it has gained 3.76% in one day and 7.21% over one month, it remains down 1.90% over one year. Over the long term, however, the stock has delivered strong returns, rising nearly 191% over five years.

Read more: Budget 2026: Highways Outlay Likely To Rise Marginally To ₹2.90 Lakh Crore.

Conclusion

RailTel’s latest contract win from Central Railway marks a significant milestone, both in terms of value and strategic relevance. The project strengthens its presence in railway network infrastructure and supports India’s broader push towards digital transformation in rail operations.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions. 

Investments in the securities market are subject to market risks. Read all the related documents carefully before investing.

Published on: Jan 14, 2026, 5:11 PM IST

Aayushi Chaubey

Know More

We're Live on WhatsApp! Join our channel for market insights & updates

Open Free Demat Account!

Join our 3.5 Cr+ happy customers

+91
Enjoy Zero Brokerage on Equity Delivery
4.4 Cr+DOWNLOADS
Enjoy ₹0 Account Opening Charges

Get the link to download the App

Get it on Google PlayDownload on the App Store
Open Free Demat Account!
Join our 3.5 Cr+ happy customers