Chennai: The Southern Railway has clarified that there will be no cut in the budget allocations for various projects in Kerala and Tamil Nadu. According to the Railway's explanation, the media reports suggesting otherwise originated from a misunderstanding.

Widespread protests had erupted following reports that Southern Railway General Manager R N Singh had written to the Railway Board recommending the reallocation of ₹727.79 crore from 12 projects, including three in Kerala. The letter reportedly sought to withdraw the funds allocated in the current Union Budget and redirect them to other projects.

However, in its clarification note, the Railway stated that it is routine practice to request the transfer of unutilised funds from one quarter to the next if the allotted amount is not spent within the implementation period of the financial year. It further clarified that the letter in question was part of this usual process and not a recommendation to withdraw budget allocations. The Railway emphasised that the allocations for railway projects in Kerala and Tamil Nadu would remain as proposed in the Budget.

The letter had mentioned the proposed withdrawal of ₹20 crore from the amount allocated to the Angamaly–Sabarimala line, ₹32.70 crore from the Tirunavaya–Guruvayur line and ₹26.82 crore sanctioned for track doubling. There were also suggestions to withdraw funds from various projects in Tamil Nadu. Members of Parliament from both Kerala and Tamil Nadu had expressed strong objections to these proposals.