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Department of Railway is under the jurisdiction of the Ministry of Transport.

The Department of Railways was established on 1st August 1992, when the Malayan Railways Administration was corporatized as Keretapi Tanah Melayu Berhad (KTMB). The Railways Act of 1991, under section 3 authorises the Minister of Transport to appoint the Director General of Railways to carry out his duties and functions in accordance to the Railways Act 1991.

The Department of Railways is the regulatory body of all railways in Malaysia excluding the Sabah State Railway and Penang Hill Railway. The function of the Department of Railways is to ensure and promote safe, efficient and affordable railway transport system in Malaysia.