Beijing based AIIB to provide funds for Chennai metro, ring road project
Posted on: 07/Feb/2020 10:07:45 AM
To fund portions of corridors 4 and 5 of Chennai metro phase-2 and a stretch of peripheral ring road in the north of Chennai, Beijing based AIIB or Asian Infrastructure Investment Bank would be providing Rs 10000 crores amount as loan.
Information collected is last week, the first transche of Rs 2298.75 crores were cleared for extension, renovation and modernization of Grand Anaicut Canal System in the Cauvery delta.
For the sake of speeding up the process, on Wednesday, a team of the bank led by vice-president, Mr. D.J .Pandian, held discussions with the chief minister of TN, Mr. E. Palaniswami and senior bureaucrats. It is known that the union government has given in-principle approval to seek funds from Beijing based AIIB.
The sanctioning of the proposal was done by the screening committee of the department of economic affairs. It was later mentioned by a senior official that the next mission was to finalize and sign the formal agreements.
It is worthy to note that that JICA or Japan International Cooperation Agency has funded certain components of metro rail and peripheral ring road. For parts of corridors 3 and 5 running for about 52.1 km from Madhavaram to Sholinganallur and Madhavaram to CMBT, JICA has extended funds. This was out of 118.9 km long phase-2 of metro rail.
For the sixteen kilometers of corridor 4 between Light House and Meenakshi College and for the remaining portions of corridor 5, AIIB would provide funds. By the month of June, tenders would be floated for AIIB projects and this was as per an official.
