Center signs $500m loan agreement with NDB for Delhi-Meerut RRTS project


The government on Friday signed a loan agreement worth $500 million with the New Development Bank (NDB) to finance part of the Delhi-Ghaziabad-Meerut Regional Rapid Transit System (RRTS) project.

Executed by the National Capital Region Transport Corporation (NCRTC), the 82 km long corridor is estimated at $3.7 billion.

The project aims to reduce traffic congestion on the Delhi-Meerut road, which would reduce pollution in the capital, according to a statement from the Ministry of Finance. Daily passenger traffic along the Delhi-Ghaziabad-Meerut corridor is estimated at 690,000, of which 63 percent use private vehicles to get around, he said.

The NDB loan had a 25-year term and an eight-year grace period. The Shanghai-headquartered bank was formerly called BRICS Development Bank.

The funds will be used to finance rolling stock for energy-efficient operations and interoperability between corridors. It will also be used to provide signaling, telecommunications and train control systems with features such as automatic train operation, automatic train protection, automatic train supervision and integration with platform screen doors. docks, he said.

The agreement was signed by Baldeo Purushartha, Deputy Secretary, Department of Economic Affairs, Janardan Prasad, Director (Urban Transport), Ministry of Housing and Urban Affairs, Vinay Kumar Singh, Managing Director, NCRTC and Xian Zhu, Vice President , NDB, the statement said.

The rest of the financing for the project will come from the Asian Infrastructure Investment Bank ($500 million), the Asian Development Bank ($1.05 billion), the Japan Poverty Reduction Fund ($3 million) and from government and other sources ($1.7 billion), he said. .

The first section of the Delhi-Meerut RRTS Corridor is expected to be commissioned by 2023 while the entire project is expected to be commissioned by 2025. While the journey by road takes about three to four hours, the RRTS would carry passengers at average speeds of 100 km/h. , the statement said.

Previous 1 overlooked reason you might regret co-signing a loan
Next Trump education chief resigns, calls for student loan forgiveness