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He said it will help improve safety of passengers on the transport network.
The project with an estimated cost of Rs 25,000 crore will be completed in the next five years.
The railways currently relies on optical fibre for its communication network but with the allocation of fresh spectrum, it will be able to use high-speed radio on a real-time basis.
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“Cabinet approves allotment of 5 MHz spectrum in 700 MHz band to Indian Railways for public safety and security services at stations and in trains; estimated investment is over Rs 25,000 Crore; Project to be completed in next five years,” a government spokesperson tweeted.