: A four-member Japan International Cooperation Agency (JICA) team inspected the proposed metro corridors in the city on Thursday.
Amarvati Metro Rail Corporation (AMRC) managing director Ramakrishna Reddy, who accompanied the team, said that the JICA loan of Rs. 4,200 crore would be released by July. The loan was being given with a moratorium of 10 years. The loan has to be repaid in 30 years, he said.
The State government would also release Rs. 150 crore for land acquisition (LA) for the project. The land acquisition process would be completed at the earliest to kick-start the metro rail project works, he said.
The JICA team, during its earlier visit in February, interacted with the officials to study the project. The team had responded positively to a request to sanction a loan of Rs. 4,000 crore for the project.
In fact, the JICA is said to have expressed willingness to sanction loan to the tune of Rs. 3,600 crore prior to their visit in February But, the AMRC urged the JICA team to re-look into their assessment and increase the funding and sanction Rs. 5,000 crore. But, the team then said that the JICA has not financed more than Rs. 4,000 crore to this kind of project elsewhere in the world.
Fixed interest
The JICA is funding the metro rail project as a bilateral loan with a fixed interest of 0.30 per cent.
The metro project will overall needs land acquisition of 31 hectares of land, including government land of 1.5 hectares and private land of 29.44 hectares and 77 families are likely to be affected and the cost of resettlement and rehabilitation is expected at Rs. 46.73 crore.
The authorities are planning to kick-start work on Eluru Road and complete the same by 2018.
The AMRC is Special Purpose Vehicle (SPV) which has been formed to implement the project with the help from the consultants — the Delhi Metro Rail Corporation (DMRC).
