Saturday, August 8, 2020
Home India French aid for Bengaluru Metro: Rs 1,504 crore as soft loan

French aid for Bengaluru Metro: Rs 1,504 crore as soft loan

By NewsGram Staff Writer

Bengaluru: In a bid to speed up the already delayed sate-run Bengaluru Metro rail project, a French development agency on Friday announced 200-million euro (Rs1,504 crore) as soft loan for its second phase.

Financing the Metro rail project was part of the credit facility agreement Agence Francaise de Developpement (AFD) signed with the Indian government in New Delhi on September 3.

www.afd.fr
www.afd.fr

Paris-based AFD is a public development finance institution, which implements the French government’s policies and supports projects that improve living conditions, boost economic growth and protect the planet through a network of 71 agencies the world over.

“The new funding is in addition to the 110-million euros we gave in 2012 for the project’s first phase,” AFD regional director (South Asia) Nicolas Fornage told reporters after signing an agreement with Bangalore Metro Rail Corporation Ltd. (BMRCL) managing director Pradeep Singh Kharola here.

The second phase project, estimated to cost a whopping Rs 26,405 crore at the 2011-12 price level for extending the 42 km first phase by an additional 72 km, was approved by the previous (UPA-2) government on January 30, 2014.

According to Kharola, the loan repayment will be over 15 years at interest rate linked to Euro inter-bank offered rate.

www.prokerala.com
www.prokerala.com

“The Metro rail project is aimed at improving the public transport system in the city, which has grown rapidly over the last two decades on IT boom and influx of people from all over the country,” Karnataka Chief Minister Siddaramaiah said on the occasion.

Of the estimated cost, the central government would provide Rs 5,281 crore and the state government Rs 8,983 crore, while the remaining amount would be raised through debt from multilateral or bilateral funding agencies like AFD and JICA and Indian financial institutions.

The Japan International Cooperation Agency (JICA) had also contributed to the project’s first phase, while the Asian Development Bank has agreed to grant a $250 million (Rs165 crores) loan for the second phase.

The second phase is expected to be taken up in 2017 after the first phase, which is three years behind schedule, with its cost escalating to over Rs 12,000 crore from Rs 8,000 crore in 2008.

As the country’s third biggest city and hub of the new economy, Bengaluru has about one crore denizens, with 55 lakh vehicles and a floating population of 15-20 lakh daily.

“The Metro network across the expanded city will ease traffic congestion, reduce pollution and promote low-carbon mobility,” AFD said in a statement.

French consul-general Francois Gautier was also present on the occasion.

(With inputs from IANS)

STAY CONNECTED

18,960FansLike
362FollowersFollow
1,781FollowersFollow

Most Popular

Richa Chadha Pleased to see Volunteers Working for Elderly Amid Pandemic

Actress Richa Chadha points out senior citizens need extra care and attention amid the ongoing Covid-19 pandemic. She recently interacted with volunteers of foundations...

Bhagavad Gita: Here is the Collection of Sanskrit Verses from Dhyana Yoga

The Yoga of Meditation uncovered by Krishna is arranged in sixth Chapter, Dhyana Yoga of Bhagavad Gita. Sri Krishna uncovers the Yoga of Meditation...

Facebook Produces 600 Homes, 70% Reserved for Low-Income Residents

Facebook has produced and preserved approximately 600 affordable homes near its headquarters in Menlo Park, California, of which roughly 70 per cent are reserved...

Google, IBM, Microsoft AI Datasets Show Gender Bias

Revealing another dark side of trained Artificial Intelligence (AI) models, new research has claimed that Google AI datasets identified most women wearing masks as...

This Year Has Been a Wake-Up Call for Us: Bhumi Pednekar

This year has been a wake-up call for us, and if we do not work towards maintaining a balance, our cities will continue to...

Anushka Sharma: Watching Movies Doesn’t Always Help You Understand Them Better

Actress Anushka Sharma says watching films does not always help understand the medium better, and that experiences in life help add value to storytelling,...

Sadhguru: Youth is the Most Alive, Idealistic, and Energetic

Spiritual leader and author Sadhguru believes in the potential of the youth. "Youth has enormous potential. If we can inspire them to identify with humanity...

Increase in Deforestation in Brazilian Amazon Causes Massive Forest Destruction

Deforestation in the Brazilian Amazon increased 34.5 per cent between August 2019 and July 2020, with a total of 9,205 square km of forest...

Recent Comments