The European Investment Bank (EIB) has agreed to provide €500m to support the construction of the new 18-station Bangalore Metro Rail Project Phase II's Reach 6 line in the Indian state of Karnataka.
The funding will also be used to procure 96 railcars for operation along the line. The loan agreement was signed with the Government of India’s Ministry of Finance.
Reach 6 is a 22km-long metro line scheduled for completion in 2021, which is expected to expedite transportation and reduce journey times to some region within Bangalore to nearly 15 minutes from the current two hours.
The Asian Infrastructure Investment Bank is also expected to support the project by providing an additional €300m.
EIB South Asia vice-president Andrew McDowell said: “Daily travel for hundreds of thousands people on the Namma Metro will be transformed by expanding urban transport in Bangalore.
“The impressive Reach 6 project shows how a world city is providing 21st century sustainable transport for its citizens.
“The €500m financing agreed with the European Investment Bank, the Bank of the European Union, demonstrates Europe’s commitment to support world-class climate-related investment across Asia and the increased momentum of EIB financing for urban transport across India.”
Additional works outlined for the development initiative include the construction of underground tunnels and elevated tracks.
Nearly 800 people are expected to be employed during the project's construction phase.
Reach 6 is slated to not only reduce journey times and lower greenhouse gas emissions, but also form a key route to the future Bangalore Airport rail network.
Image: Signing of the loan agreement for Bangalore Metro between EIB and the Ministry of Finance, Government of India. Photo: courtesy of the European Investment Bank.