A proposal to get a long-term loan of Rs 1,170 crore from Canara Bank has been approved by Kochi Metro Rail (KMRL). A decision in this regard was taken at the 15th meeting of the Board of Directors of Kochi Metro Rail held in Delhi on November 4.
KMRL Chairman Sudhir Krishna presided over the meeting. The bank loan is for a term of 20 years with a moratorium of seven years. The rate of interest will be 10.8 per cent floating. This is the first time a nationalised bank is funding a metro rail project for such a long tenure on sole banking basis.
KMRL also reviewed the progress of the project in terms of civil work, tendering and other aspects. A tripartite agreement was also signed between the Union Government, Kerala Government and KMRL defining their roles and responsibilities in the project.