T'gana govt secures Rs 13,600 cr refinancing from IRFC for Hyderabad Metro Rail

The Telangana government secured a Rs 13,600 crore refinancing agreement from IRFC to provide financial relief and strengthen the long-term economic stability of the Hyderabad Metro Rail project.

The Telangana government on Monday secured a Rs 13,600 crore refinancing agreement from IRFC for the Hyderabad Metro Rail Project.

Indian Railway Finance Corporation Ltd (IRFC), L&T Metro Rail (Hyderabad) Ltd and Hyderabad Metro Rail Ltd (HMRL) signed the agreement to this effect in Delhi.

Chief Secretary K Ramakrishna Rao, who attended the event in the national capital, said the Rs 13,600 crore refinancing would provide considerable financial relief to the Hyderabad Metro Rail project, which would strengthen the project's long-term economic stability, a state government release said here.

The refinancing would help in reducing the current debt burden and also for the future expansion plans of the metro project.

Rao said the state government under the leadership of Chief Minister A Revanth Reddy is committed to the development of an efficient, sustainable and commuter-friendly public transport in Hyderabad.

Noting that Hyderabad is emerging as a major centre for the country's economic growth, he said expansion of metro connectivity is crucial for the city's rapid growth.

The state government has recently acquired 100 per cent shares of L&T Metro Rail Hyderabad Ltd through the HMRL.

The loan is payable over a 20-year tenure with quarterly repayments, the release said.

The 69.2 km-long Phase 1 of Hyderabad Metro Rail project (including three corridors and 57 stations) is one of the largest metro projects built in PPP mode in the country. About five lakh passengers travel daily using the network.