EIB injects ₹1,700-cr in Bangalore metro project

The Bangalore Metro Rail Corporation Limited (BMRCL) has signed an agreement with the European Investment Bank (EIB) for ₹1,700 crore construction of Phase-2 of the Namma Metro project. The agreement was signed by BMRCL MD Ajay Seth and Maria Shaw Barragan, the director of global partners department, in the presence of Chief Minister, HD Kumaraswamy, for funding of the Bangalore Metro Rail Phase-2 Reach-6 project from Nagawara to Gottigere in the city. The EIB had earlier agreed to lend Euro 500 million in two tranches to BMRCL for funding part of project cost for Reach 8 (Gottigere to Nagawara) Line, Phase-2. The AIIB will co-finance the project along with EIB for Euro 300 million thus, the total loan amount will be Euro 800 million for Reach-8. The sovereign loan agreement for the first tranche of Euro 300 million has also been tied up with a 20-year tenure, which includes 4 years‘ moratorium for principal repayment.