Pune: Government-guaranteed loan for ring road of Rs 35 billion
ROADS & HIGHWAYS

Pune: Government-guaranteed loan for ring road of Rs 35 billion

The Maharashtra State Road Development Corporation's ring road project would receive a loan of Rs 35 billion from HUDCO (MSRDC). The government has pledged to guarantee this loan. The government has made it clear that the road corporation will be entirely responsible for repaying this debt. As the government has guaranteed the funding for this project, the acquisition of land will proceed more quickly.

It is anticipated that the circular road project will relieve city traffic congestion. East and West are the two phases that this project went through. The project is around 173 km long in all. The project's land purchase is anticipated to cost a total of Rs 105.2 billion, while the project's road building is anticipated to cost Rs 177.23 billion. As money will need to be set aside in advance for land acquisition, the state government has opted to borrow money from HUDCO. During the November cabinet meeting, it was approved. This loan will have a 15-year term. The government will contribute the money needed for land acquisition in addition to the loan that HUDCO has approved. The duration of the loan secured by the government guarantee is one year.

The state government's ambitious initiative is the circular/ring road. 80 % of the land needed for this project must be obtained before actual project development may begin. Therefore, it was essential to obtain this sum in order to buy land. The project will move forward quickly if the loan has a government guarantee.

Also read:
PM is likely to open two new MMRDA road projects in Mumbai
Panchakula administration plans to improve Morni's infrastructure


The Maharashtra State Road Development Corporation's ring road project would receive a loan of Rs 35 billion from HUDCO (MSRDC). The government has pledged to guarantee this loan. The government has made it clear that the road corporation will be entirely responsible for repaying this debt. As the government has guaranteed the funding for this project, the acquisition of land will proceed more quickly. It is anticipated that the circular road project will relieve city traffic congestion. East and West are the two phases that this project went through. The project is around 173 km long in all. The project's land purchase is anticipated to cost a total of Rs 105.2 billion, while the project's road building is anticipated to cost Rs 177.23 billion. As money will need to be set aside in advance for land acquisition, the state government has opted to borrow money from HUDCO. During the November cabinet meeting, it was approved. This loan will have a 15-year term. The government will contribute the money needed for land acquisition in addition to the loan that HUDCO has approved. The duration of the loan secured by the government guarantee is one year. The state government's ambitious initiative is the circular/ring road. 80 % of the land needed for this project must be obtained before actual project development may begin. Therefore, it was essential to obtain this sum in order to buy land. The project will move forward quickly if the loan has a government guarantee. Also read: PM is likely to open two new MMRDA road projects in Mumbai Panchakula administration plans to improve Morni's infrastructure

Next Story
Infrastructure Energy

KEC Secures Rs 10, 380 Mn Substation Order in Saudi Arabia

KEC International Ltd., a global infrastructure EPC major, and an RPG Group company, has secured a new order worth Rs 10,380 million for the Design, Supply and Installation of a 380 kV GIS Substation in Saudi Arabia.Vimal Kejriwal, MD & CEO, KEC International Ltd., commented, “We are delighted with the successive order wins in our T&D business. In a landmark achievement, we have secured our largest ever substation order. This prestigious order in the Middle East has widened our portfolio and strengthened our presence in the region. With this strategic win, our year-to-date or..

Next Story
Infrastructure Urban

Central Bank of India executes first fully digital SCF deal on PSB Xchange

In a major advancement for India’s banking sector, Central Bank of India (CBI) has successfully completed the country’s first fully digital supply chain finance (SCF) transaction on PSB Xchange—a unified multi-lender platform launched by PSB Alliance. PSB Xchange is designed to connect public and private sector banks, NBFCs, and fintechs with corporates and their channel partners to facilitate supply chain finance and small business loans. The transaction marks the first time a fintech-originated corporate lead has been seamlessly processed through the PSB Xchange ecosystem. The lead fl..

Next Story
Infrastructure Energy

Atlanta Electricals secures Rs 1,835 Mn transformer order from BNC Power

Atlanta Electricals Limited (“Atlanta”) has secured an order worth Rs 1,835 million from BNC Power Projects Ltd for the supply of extra high voltage (EHV) transformers and a bus reactor for its Pugal site. The contract includes a mix of 315 MVA, 400 KV and 100 MVA, 132 KV transformers along with a 400 KV bus reactor. The project scope encompasses design, manufacturing, testing, and supply to the project site. Deliveries will be sequenced following engineering and drawing approvals, offering multi-quarter execution visibility and ensuring a steady production run-rate. The order will be ex..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?