HUDCO sanctions Rs 700 crore loan for Metro

BANGALORE: Housing and Urban Development Corporation Limited (HUDCO), on Friday, sanctioned a loan assistance of Rs 700 crore  to the Bangalore Metro Rail Corporation Limited (BMRCL). The agreement was signed by V P Baligar, Chairman, HUDCO, with N Sivasailam, Managing Director, BMRCL in the presence of S V Ranganath, Chief Secretary of Government of Karnataka.The project envisages construction and implementation of Bangalore Metro Rail, covering a distance of 42.3 kms towards Phase 1 and further discussions are on for extending financial assistance by Housing and Urban Development Corporation Limited for the remaining phases of the project.A press release released by the Executive Director of HUDCO stated, “Our assessment of the project reveals that Bangalore Metro has all the components required for a successful public transport system. The economical rate of return expected is around 22.30 percent from the project.”