Asian Development Bank (ADB) has reportedly given in-principle approval to finance the Rs300bn ($4.37bn) Delhi-Meerut Regional Rapid Transit System (RRTS) in India.
The regional development bank has also agreed to finance four other metro rail projects in the country.
ADB Director General (South Asia) Hun Kim told news agency PTI that the RRTS is a large-scale project and it is planning to co-finance it with other multilateral funding agencies.
The Government of India approved the construction of the Delhi-Ghaziabad-Meerut Corridor of RRTS in February.
Covering a distance of 82.15km, the project is the first high-speed regional transit system to be built in India.
Once operational, the RRTS will offer fast commuter transport service across the National Capital Region (NCR).
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Additionally, the project will be integrated with other urban transport systems in the region.
The project will be delivered by the National Capital Region Transport (NCRTC), a special purpose vehicle jointly owned by the centre and state governments.
The central government has already committed to the financial assistance of Rs56.34bn ($811.7m) in the form of a grant and subordinate debt.
Besides supporting the Delhi-Meerut RRTS corridor, the ADB may finance four metro rail projects in the country.
Kim told the news agency that ADB is currently engaged in discussions with other multilateral funding agencies to co-finance Bhopal and Indore Metro projects. He added that supporting the expansion of Chennai and Bengaluru Metro are also under consideration.
In the past, ADB has financed the construction of Jaipur Metro and the expansion of Mumbai metro.