Mumbai Metro-3 project faces cash crunch

17 Jun 2021 CW Team

The long delayed Mumbai Metro 3 project from Cuffe Parade to SEEPZ is now facing a major cash crunch.

Suzuki Satoshi, the Japanese ambassador to India, wrote to Chief Minister Uddhav Thackeray on February 17, 2021, expressing concerns about an impending cash crunch and significant delay or stagnation for the project.

The suburban collector's decision to hand over the Kanjurmarg plot for the car shed was stayed by the Bombay High Court in December.

According to protocol, the state must first approve the cost escalation proposal and then notify the union ministry of housing and urban affairs of its decision. Japan International Cooperation Agency (JICA) disburses the loan once the centre has cleared it.

The letter said that the issue of the depot's location is resolved and JICA stands ready to consider another loan to support the depot's construction.

The approval of the revision of the total project cost to reflect actual fund requirements, according to a two-page annex note attached to the ambassador's letter, is indispensable for Mumbai Metro Rail Corporation Limited(MMRCL).

The letter stated that it was recognised during JICA's detailed fact finding mission with MMRCL, which took place from December 2020 to January 2021, that there is a real possibility for MMRCL to face fund shortage within the next fiscal year (FY2021) if an additional loan cannot be provided by the end of this fiscal year (FY2020).

MMRCL, the project's implementing authority, has already spent Rs 18,000 crore on the 33.5 km Metro 3 line. About 70% of the work, including 95% of the tunnelling, has been completed. Despite the fact that the metro car shed accounts for only 4% of the project's total cost, the project cannot be completed without it.

Image Source

Also read: Colaba-Bandra-SEEPZ Metro-3 corridor: MMRC achieves 38th breakthrough

Also read: Mumbai Metro 2A, 7 to be fully operational from January 2022

The long delayed Mumbai Metro 3 project from Cuffe Parade to SEEPZ is now facing a major cash crunch. Suzuki Satoshi, the Japanese ambassador to India, wrote to Chief Minister Uddhav Thackeray on February 17, 2021, expressing concerns about an impending cash crunch and significant delay or stagnation for the project. The suburban collector's decision to hand over the Kanjurmarg plot for the car shed was stayed by the Bombay High Court in December. According to protocol, the state must first approve the cost escalation proposal and then notify the union ministry of housing and urban affairs of its decision. Japan International Cooperation Agency (JICA) disburses the loan once the centre has cleared it. The letter said that the issue of the depot's location is resolved and JICA stands ready to consider another loan to support the depot's construction. The approval of the revision of the total project cost to reflect actual fund requirements, according to a two-page annex note attached to the ambassador's letter, is indispensable for Mumbai Metro Rail Corporation Limited(MMRCL). The letter stated that it was recognised during JICA's detailed fact finding mission with MMRCL, which took place from December 2020 to January 2021, that there is a real possibility for MMRCL to face fund shortage within the next fiscal year (FY2021) if an additional loan cannot be provided by the end of this fiscal year (FY2020). MMRCL, the project's implementing authority, has already spent Rs 18,000 crore on the 33.5 km Metro 3 line. About 70% of the work, including 95% of the tunnelling, has been completed. Despite the fact that the metro car shed accounts for only 4% of the project's total cost, the project cannot be completed without it. Image Source Also read: Colaba-Bandra-SEEPZ Metro-3 corridor: MMRC achieves 38th breakthrough Also read: Mumbai Metro 2A, 7 to be fully operational from January 2022

Resources

03 Jun 2026

Jyoti Structures Launches Heat Safety Drive Across Sites

Jyoti Structures (JSL) has strengthened heat safety measures across its project sites and manufacturing facilities as temperatures rise across India. The company has implemented a Summer Safety Plan covering all transmission line projects to address risks related to heat stress, dehydration and worker fatigue.The initiative includes rescheduling work away from peak afternoon temperatures, provision of drinking water, ORS and lemon-salt solutions, and installation of rest shelters near work areas. Daily toolbox talks, worker health monitoring, first-aid preparedness, emergency transport arrange..

Real Estate

03 Jun 2026

MHADA Declares 82 Buildings Most Dangerous in Central and South Mumbai

The Maharashtra Housing and Area Development Authority (MHADA) has declared 82 buildings as most dangerous across Central and South Mumbai and has appealed to residents to vacate immediately. The list, prepared after structural assessments by the authority, identifies buildings judged to pose imminent risk to occupants and to passersby. Local civic bodies have been asked to coordinate evacuations and to make arrangements for temporary shelter and rehabilitation for displaced households. Officials said the authority prioritised buildings with visible structural distress, severe cracking, tiltin..

Infrastructure Transport

03 Jun 2026

Damage Reported At Halwara Airport Terminal After First Rains

Severe damage was reported at the terminal of Halwara Airport during the first major rain spell of the season, prompting immediate concern among aviation and local authorities. Images from the site showed water ingress and visible deterioration of the terminal interior, affecting passenger areas and ancillary services. The airport authority suspended certain operations temporarily to assess structural safety and ensure passenger wellbeing. Preliminary inspections have prioritised electrical systems and roof seals to prevent further water ingress. State aviation officials ordered a formal inqui..