The New Development Bank (NDB) has approved a USD 500 million loan for Delhi-Meerut RRTS project.
The regional rapid transit system will have a total length of 82.15 km, of which 68.03 km elevated and 14.12 km underground. It will be served by 25 stations.
The system will be designed to allow trains to run at speeds of 180 km per hour, with a maximum operating speed of 160 km per hour.
The new railway system will provide high-frequency operations, which will reduce the journey time from Delhi to Meerut to 60 minutes.
The loan for Delhi-Meerut RRTS would be used by Government of India for on-lending to the National Capital Region Transport Corporation Limited (NCRTC) for the construction of the rapid rail corridor connecting the National Capital Territory of Delhi with the cities of Ghaziabad and Meerut located in the State of Uttar Pradesh.
The project will develop an efficient and sustainable regional transport system and reduce congestion in Delhi, by offering people the alternative of settling in surrounding cities and being able to commute to Delhi through a fast, reliable, safe and comfortable public transport system.
USD 3.94 billion is the value of the project, of which the Indian Government will allot USD 1.89 billion and the remaining needed investment will be covered by loans provided by the financial institutions.
In August, the Asian Development Bank (ADB) has provided USD 1 billion loan provided within four tranches for the construction of the new rail system.
USD 3 million grant was announced by the ADB’s Japan Fund for Poverty Reduction to support different activities performed under the project.
This year, the National Capital Region Transport Corporation awarded Larsen & Toubro two contracts for the construction of the railway system.
Bombardier Transportation will deliver the train fleet under a EUR 314 million contract for the supply of 40 new regional trains. It will also be responsible for the provision of maintenance services for a period od 15 years. The train design was unveiled in September.