Maha-Metro to finalise loan for Pune Metro from European Investment Bank, French Development Bank

Pune Metro is likely to finalise funding from European Investment Bank (EIB) and French Development Bank (FDB) very soon as the team from both the financial institutes are visiting the city on Wednesday and Thursday.

The teams from the European Investment Bank and French Development Bank are visiting the Pune Metro project to complete the appraisal mission report, said Maha -Metro’s managing director Brijesh Dixit. 

The discussions with these two agencies are in the last stage and once the representatives submit the report, Maha-Metro is likely to get the funds from them for executing the Metro project in the city. 

Maha-Metro officer Ramnath Subramanium said that EIB will be putting in 600 euro million (4,500 crores) while AFD is financing 245 euro million (2,000 crores) for the project. 

The central, state and local governments are bearing almost 50 per cent of the cost and the remaining 50 per cent amount is raised through loans from financial institutes.

The total project cost is ₹11,420 crore for the 31.25km Metro project. Dixit said that once the loan agreement is done, Maha-Metro will start the tendering process for the underground Metro corridor between Range Hills and Swargate as well as between Shivajinagar Godown and Ramwadi. 

The representatives of the financial institutes would be in the city for two days and they would visit the ongoing Metro work at the sites as well as have a detailed meeting with senior Metro officers. Maha-Metro has already submitted the tender documents to the financial institutes for study and it got the in-principal approval. 

Maha-Metro has already started the Metro work between Pimpri-Chinchwad and Range Hills as well as between Vanaz and Shivajingar Godown. Even the Metro stations work has been allotted and they would start work this week.