FCC

MMRDA seeks 35% metro funding from BMC and centre

2023-11-13

In an attempt to expedite the numerous Metro projects in the city, the financially strained Mumbai Metropolitan Region Development Authority (MMRDA) has requested 10% of the funds required for the works from the union government and 25% from the BMC.

It is noted that MMRDA is grappling with a funds shortage, considering the substantial amount earmarked for infrastructure spending in this decade. The combined cost of 10 Metro projects, excluding Metro 3 (Colaba-Bandra-Seepz) and Metro 1 (Versova-Andheri-Ghatkopar), amounts to Rs 750 billion.

A senior official mentioned, "Since Sanjay Mukherjee assumed the role of metropolitan commissioner, there have been endeavours to generate resources for various infrastructure projects."

In addition to capitalising on its assets, MMRDA has engaged SBI Capital Markets to secure loans. However, a consistent flow of funds is required to carry out significant projects. An MMRDA official stated, "MMRDA will allocate another 15% from its own funds, and the remaining 50% will be raised through loans."

MMRDA has allocated an expenditure of Rs 287.05 billion for diverse infrastructure projects, encompassing Metro corridors, the Mumbai Trans Harbour Link, the Versova-Vasai sea bridge, the subterranean road connecting the Eastern Freeway and Marine Drive, among others, in the fiscal year 2023-24.