BMRCL signed a loan agreement of Rs. 3,643 crores with ADB

BMRCL signed a loan agreement of Rs. 3,643 crores with ADB

BENGALURU (METRO RAIL NEWS): On 19th August 2021, the BMRCL signed a loan agreement worth Rs 3,643 crores with the Asian Development Bank (ADB) to complete two crucial routes along the Outer Ring Road and the Airport Metro Corridor, covering 58.19 kilometres in total. 

The CPRO of BMRCL, Shri BL Yashavanth Chavan, said that the agreement was signed between the Managing Director of BMRCL Anjum Parvez, Ministry of Housing and Urban Affairs Director Janardan Prasad and Asian Development Bank Country Director Mr. Takeo Konishi.

On 26th March 2021, the corporation signed another loan agreement with Japan International Cooperation Agency (JICA) for Rs. 2,317 crores for the same project. 

Note that the Indian government had given its nod for implementing phase 2A (Silk Board to KR Puram) and phase 2B (KR Puram to Bengaluru International Airport) project for a route length of 58.19 KM, having an estimated cost of Rs. 14,788 crores, according to CPRO, BMRCL. The state and central government will give Rs. 3,973 crores through equity and subordinated debt for this project.

The state government of Karnataka will bear the cost of land acquisition of Rs 2,762 crore. The Rs. 5,960 crore external assistance amount was to be raised through a loan from bilateral or multilateral funding agencies, for which the agreements were done, Mr. Chavan added.

According to the report of BMRCL, the agency report saying the arrangement of the remaining amount of Rs. 2,093 crores would be made through external means, another loan agreement with a financial institution. Meanwhile, the Purple Line of Namma Metro recently got permission from the Commissioner of Metro Rail Safety (CMRS) earlier. Still, it is expected that the network may get further delayed before opening to commuters.

The government’s initial plan was to complete the circuit and make it open to commuters on 20th August 2021, on the day of Varamahalakshmi. But the inauguration process has been delayed, told a senior official at BRMC. The official had further added that the rail corporation is finding it difficult to get dates from both Center and the State for the inauguration. 

“It looks unlikely that we can launch operations on Varamahalakshmi Day as it is difficult to get dates of leaders at both levels together on such short notice. However, a date is expected to be announced in the upcoming days, recently confirmed permission from CMRS to launch the purple metro line, which extends to 7.53 KM covering areas between Mysore Road and Kangeri, said Shri Anjum Parwez, MD, BMRCL.

He also said that the BMRCL had received many suggestions to begin the work and hopes to start the services soon for our commuters.

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