After shaping a dramatic financial turnaround of the Indian Railways, Lalu Prasad says the emphasis of his fifth straight budget would be to reach out to areas still untouched while sparing passengers from fare hikes.

"One thing stands clearly proven in these four years - by just increasing fares you cannot improve the state of railways," Railway Minister Lalu Prasad said, ahead of his railway budget for the next fiscal to be presented on February 27.

"There are many inaccessible, remote areas still untouched by the railways after so many years on the plea that these are financially unviable. The government has a social obligation," Lalu Prasad said.

"Therefore, my effort is to see that even if it is considered uneconomical we have to see how to make it viable," he said in the freewheeling interview at his sprawling, well-appointed office at Rail Bhavan.

"Railways are the lifeline of India, a necessary, vital component of the India's infrastructure. A railway minister has to be sensitive to the needs of the poorest section of the population. They all use our railways," he said.

In the four previous budgets that Lalu Prasad presented for the United Progressive Alliance (UPA) government, the Indian Railways saw a financial transformation - which even became case studies at major management schools, with Harvard Business and Wharton even inviting him as a guest lecturer.

"For the first time, the railways have stopped making losses. Railway employees were losing jobs. Today, the railways have a surplus of Rs 450 billion ($ 11.25 billion). We have also given a handsome bonus to employees," Lalu Prasad said, referring to the benefits he has provided to his 1.54 million workers.

In the last fiscal, the railways saw earnings from freight and passengers jump 17 per cent and 14 per cent respectively, while incremental loading of freight was projected to have jumped by 59 million tonnes.

Indian Railways is the world's largest railroad network under a single management. With more than 11,000 trains every day, of which 7,000 are for passengers, the network is spread over 1,08,706 track km, and carries over 13 million passengers from as many as 6,853 stations.

Asked about the specifics of the forthcoming railway budget, the minister said people will have to wait for the appointed day, but added that he will continue to surprise people - in a pleasant manner.

"You will see how it will be friendly both towards the ordinary passenger and beneficial to commerce and business. Everything will be disclosed on the day of the budget," he added.

Giving a peak into the progress of some of the schemes and projects initiated by him over the past few years, Lalu Prasad said the safety and comfort of passengers was being given top priority, along with expansion plans.

"I am providing cushioned seats even in 2nd-class compartments for the comfort of the ordinary passenger. We are also raising the height of platforms so that it becomes easier, less dangerous to climb in and out of train compartments."