Indian government and EIB sign €150 million loan agreement for Pune metro project
New Delhi, India (Urban Transport News): The Government of India and the European Investment Bank (EIB) signed the loan agreement for the second tranche of €150 million for the Pune Metro Rail project on May 7, 2021 during a virtual signing ceremony.
The signing ceremony took place in the presence of HE Mr. Francisco Andre, Secretary of State for Foreign Affairs and Cooperation of Portugal and Werner Hoyer, President of the EIB.
K. Rajaraman, Deputy Secretary, Department of Economic Affairs, Ministry of Finance, signed the loan on behalf of the Government of India and Christian Kettel Thomsen, Vice President, signed the loan on behalf of the European Investment Bank (EIB) .
The EIB had approved a total loan of 600 million euros to finance the Pune metro project. The financing contract for the first tranche of 200 million euros was signed between the GoI and the EIB on 22.7.2019. The project aims to provide an efficient, safe, economical and pollution-free public transport system in a densely populated area of the city of Pune served by heterogeneous traffic options.
The EIB financing will help finance the construction and operation of Corridor 1 (North-South) from Pimpri Chinchwad Municipal Corporation (PCMC) to Swargate and Corridor 2 (East-West) from Vanaz (Kothrud) to Ramvadi, totaling approximately 31.25 kilometers (km) and related purchase of a related fleet of metro cars. In addition, the project will serve a large working class population by providing urban mobility for their livelihood.
The Maharashtra Metro Rail Corporation Ltd. (Maha Metro) is the executing agency for this project.