European Investment Bank provides €300 million loan for Bengaluru suburban railway 

The European Investment Bank (EIB) has announced a €300 million loan to build a new suburban railway network covering four dedicated rail corridors in Bengaluru.

According to a release, at a meeting in Gandhinagar, EIB Vice-President Nicola Beer and Director of Finance of Karnataka Rail Infrastructure Development Company Ltd (KRIDE) Awadhesh Mehta, formally announced a €300 million loan to build a new suburban railway network covering four dedicated rail corridors in Bengaluru. The network will stretch over a total of 149 km and include 58 stations and two depots.

“Home to around 14 million people (expected to reach 20 million by 2030), Bengaluru is India’s third most populous city. The EIB has already supported the city’s transportation sector with a €500 million loan to build the 23 km Bengaluru Metro R6 line and purchase a fleet of about 96 metro cars. The EIB’s support for transport in India includes the financing of metro investment in Agra, Bengaluru, Bhopal, Kanpur, Lucknow and Pune, with a total of €3.25 billion committed since 2016. This makes India the largest beneficiary of EIB transport financing outside Europe,” EIB stated in the release.

Ms. Beer said, “The EIB is honoured to finance the Bengaluru suburban railway network with a €300 million loan. This funding complements the €500 million we allocated for the construction of the Bengaluru Metro R6 line, addressing Bengaluru’s mobility challenges by developing a clean, modern and efficient public transport system. The two projects we are financing in Bengaluru aim to create India’s most integrated rail network, providing seamless connectivity with all other modes of public transport in the city.”