Larsen & Toubro (L&T) is contemplating the possibility of exiting the Hyderabad Metro project as the business suffers from the adverse effects of free bus rides offered by the state government. The company is evaluating its options amid financial challenges caused by reduced metro ridership due to the availability of free bus transportation.

The decision to potentially exit the Hyderabad Metro project comes as a result of declining revenues and profitability, attributed to the state government's initiative of providing free bus rides to commuters. This move has led to a significant decrease in metro ridership, impacting L&T's revenue streams and overall business viability.

L&T's consideration of exiting the Hyderabad Metro underscores the challenges faced by infrastructure developers in navigating regulatory and competitive landscapes. The company's decision will have implications for the future of the metro project and its stakeholders, including commuters and investors.

Hyderabad Metro, a significant urban transportation project, plays a crucial role in enhancing connectivity and easing traffic congestion in the city. However, the viability of the project is now in question due to the financial constraints imposed by the availability of free bus rides.

L&T's potential exit from the Hyderabad Metro project highlights the need for a sustainable business model that can withstand external disruptions and government policies. It also underscores the importance of collaboration between public and private sectors to ensure the success and sustainability of large-scale infrastructure projects like the Hyderabad Metro.