Which of the following sectors was allocated the highest share of capital expenditure in the Union Budget for fiscal year 2025–26?

The correct option is Railways.

Step-by-Step Explanation:
1. Focus on Capital Expenditure: In recent Indian Union Budgets, the central government has strategically prioritized capital expenditure (capex) to create long-term assets, enhance logistics efficiency, and drive economic growth.
2. Railways Capex Allocation: The Indian Railways sector receives massive capital allocation aimed at infrastructure expansion, modernization of rail networks, track doubling/tripling, electrification, safety system installation (Kavach), manufacturing of modern train fleets (such as Vande Bharat and Amrit Bharat trains), and redevelopment of major railway stations.
3. Sectoral Comparison:
• While sectors like Health and Education receive significant budget outlays, their expenditures are primarily social and operational (revenue expenditure).
• While the Defence sector receives a large total budget, a substantial fraction is assigned to revenue expenditure (salaries, pensions, and maintenance), whereas Railways receives one of the highest dedicated capital outlays focused purely on physical asset creation.
4. Conclusion: Among the options provided, Railways stands out with the highest share of dedicated capital expenditure in the budget.

Therefore, Railways is the correct answer.