Kochi Metro Rail Limited (KMRL) has received approval to seek a loan of Rs 10,160 million to fund Kochi Metro phase two. The approval allows KMRL to initiate formal funding applications and explore financing options for the next stage of the metro project. The amount corresponds to 10,160 million (10,160 mn) and will be referenced subsequently using the abbreviation mn for million.

KMRL will allocate the funds to core components of phase two, including civil works, systems integration, station construction and procurement of rolling stock where required. The financing is intended to cover capital expenditure and ancillary costs such as land acquisition, design work and project management, subject to the terms agreed with lenders. Project officials will manage disbursements in phases to align with construction milestones and contractual obligations.

The company will proceed to engage potential lenders, prepare detailed project reports and comply with statutory clearances and financial due diligence procedures. Commercial and multilateral banks, as well as infrastructure financiers, may be approached to assess lending terms, covenants and tenor in keeping with usual practice for urban transport projects. Any loan agreements will be negotiated to balance cost of funds with the need to maintain fiscal prudence for the entity and relevant authorities.

Completion of phase two is expected to enhance urban connectivity and support public transport capacity in the Kochi metropolitan area, improving access for commuters and reducing congestion on arterial roads. The financing step is a critical milestone in advancing construction and operational readiness for the extended corridor. KMRL will continue to brief stakeholders on progress and timelines as the funding process moves forward. Regular updates will be provided to stakeholders.