In a significant decision to improve the public transport in Nagpur, Germany’s Development Bank KfW will provide loan assistance for building a metro network in the city.
KfW will provide a loan of around 3,750 crore rupees for the project to be executed by Nagpur Metro Rail Corporation Limited. The loan amount is over 43% of the total project cost of around Rs. 8,680 crore.
An agreement in this regard was signed in New Delhi by Joint Secretary in Department of Economic Affairs S Selvaraj and Director General of KfW Roland Siller.
The loan is for a period of 20 years with a moratorium of 5 years. Disbursal will be based on the progress of the project over 3 years.
Nagpur Metro is the first metro to be financed under the Indo-German partnership for clean, socially inclusive and climate friendly mobility for people in cities.
Maharashtra Chief Minister Devendra Fadnavis and Road & Transport Minister Nitin Gadkari have unveiled the logo for Nagpur in March last year.