"All four corridors of Bengaluru Suburban Rail will be ready by December": MB Patil
Feb 09, 2024
Bengaluru (Karnataka) [India], February 9 : The nodal agency for implementing the Bengaluru Suburban Rail Project, Rail Infrastructure Development Company (Karnataka), K-RIDE, and Luxemburg-based KFW Development Bank inked an MoU on Friday for accommodating funds of Rs. 4561 crore for the Bengaluru Suburban Rail Project (BSRP).
N. Manjula, Managing Director, K-RIDE, and Wolf Muth, Country Director, KFW Development Bank, signed and exchanged the documents in the presence of Infrastructure Development Minister MB Patil. As per the agreement, KFW would provide Rs 4,561 crore at 4% interest for 20 years.
This is the supplementary agreement between Germany's KfW and KRIDE (Rail Infrastructure Development Company-Karnataka), followed by the primary agreement between the Department of Economic Affairs, Govt. of India and KfW for the disbursal of Rs 4561 crore, which took place on December 15, 2023.
Speaking on the occasion, Infrastructure Development Minister MB Patil said that the agreement highlights how the project is going to be executed under the loan.
He added that it mentions the terms and conditions of the loan towards the project, its repayment schedule, and its obligations.
This loan of Rs 4561 crore aimed at addressing critical infrastructure needs would be utilised for the works of Corridor-3 (Kengeri to Whitefield) Station & Viaduct, Corridor-4 (Heelalige to Rajanukunte) Station work, Depot-1 (Devanahalli), S&T Signal & Telecom), PSD Platform Screen Door), AFC (Automatic Fare Collection), Solar Panel and Security Equipment, MMI (Man Machine Interface), Patil explained.
"The government is committed to ensuring transparency and accountability in the utilisation of loan proceeds. Robust monitoring mechanisms will be in place to track expenditure and ensure that funds are used efficiently to maximize socio-economic benefits for our citizens" the Minister remarked.
Savings, the target has been set to complete work in all four corridors by December 2027.
He opined that the implementation of BSRP funded by the loan will contribute to better mobility for citizens, reduced vehicular pollution, and the creation of a better environment, resulting in improved quality of life in the city of Bengaluru.
BSRP, sanctioned through the Ministry of Railways for a project cost of Rs 15,767 crore, aims to develop a suburban railway network of 148 km with 58 stations along 4 corridors. The project is funded through the equity contribution of Gok, the Ministry of Railways and external borrowing in the ratio of 20:20:60.
Along with N Manjula and Wolf Muth, Urban Development Department Secretary Rakesh Singh, Ms Swati Khanna, Senior Specialist, KFW, Urban & Mobility and other dignitaries were also present.
