MMRDA-REC inks ₹30,483-cr loan pact for nine metro lines
The Mumbai Metropolitan Region Development Authority (MMRDA) and Union government controlled REC Ltd recently signed a loan agreement worth ₹30,483 crore for financing the nine upcoming metro lines being developed in the Mumbai Metropolitan Region (MMR). A major portion of the required funds, to the tune of ₹14,434 crore, is being extended by REC for electro mechanical works, said an official spokesperson of the company. Apart from this, REC has also in principle agreed to loan ₹16,049 crore towards Non-EM works. The Maharashtra government has declared the projects as ‘public vital infrastructure ventures' as it will have many positive impacts like reduction in traffic congestion, saving in travel time, reduction in air and noise pollution and lesser consumption of fuel. These will be catalyzing factors in the overall reduction of the carbon footprint of the Mumbai metropolitan. The total route length of the nine lines funded by REC is 154 km and the company is committed to cater to the infrastructure and energy transition needs of the nation through its funding solutions and is poised to diversify its portfolio of financing. It may be recalled that REC in May this year had approved a loan of ₹30,483 crore for electrical and technical and related works. The Navratna Company under the ministry of power provides financial assistance to the power sector in all segments-generation, transmission and distribution.
