Pakistan Railways Academy was established as a Training School for the employees of North Western Railway (NWR) at Lyalpur, now Faisalabad, in January 1925. The school was shifted to Walton Road Lahore on 8 March 1929; and named Walton Training School after Col. C.E. Walton, the then General Manager of NWR. In 1983, the School was renamed as Directorate of Research & Training by merging all other institutions and again renamed as Pakistan Railways Academy in 2000. This Academy, arranges Training Courses for newly recruited officers and members of the staff of Pakistan Railways belonging to various disciplines as well as Promotion and Refresher Course for the members of the staff only. The training is imparted through class rooms, model rooms, having replica of the actual systems in vogue on Pakistan Railways and also exposing the students to the actual working on the PR network. 
The Academy spreads over 77 acres of land, including, 11 acres as covered area having 35 Class Rooms, 12 Model Rooms / Laboratories, 1 Auditorium, 1 Library and 9 Hostels.
In 1954, the United Nations Regional Railway Training Centre was established by ECAFE (now ESCAP) in this school and an ‘Advanced Railway Course’ was introduced for the participants from the Railways of ESCAP, the Middle East and African Region. In 1958, the Regional Railway Training Center RRTC) was taken over by Government of Pakistan and renamed as Pakistan Inter-Regional Railway Training College (PIRRTC). 109, such courses, have been completed by the year 2012, at this Academy, which were attended by more than 1700 participants from more than 40 countries, including Pakistan. Other members of the Faculty and Staff, includes, Assistant Directors 5, Instructors 28 and Miscellaneous 150. A senior medical officer is also posted at this academy.