The Housing and Urban Development Corporation (HUDCO), which also approved the loan for the ring road project, has been asked for funding in the amount of Rs 35 billion, and the state government has given its in-principle approval. Government regulations state that the ring road project cannot start until 80% of the land acquisition work has been finished. According to administrative officials, the land acquisition process will go more quickly now that the funds are available.
The east and west zones of the Pune ring road project will be finished in two stages. The project will cost Rs 105.2 crore to acquire the land, and it will likely cost Rs 177.23 billion to build the ring road. The cost of construction would be taken into account later because the original cost is linked to land purchase. During an inter-ministerial group meeting in Mantralaya, a discussion about funding took place. DB Vibhute, Deputy Secretary, the Public Works Department, filed an order requesting approval for a HUDCO loan.
The state government will provide the remaining sum in addition to the approved loan. The first installment of the loan is due for repayment within eight months, per the terms and conditions of the loan. The remaining funds for the project will be obtained from other financial organisations.
Also read:
East Coast Road in TN to be widened in Rs 70 bn project
Mumbai’s western suburbs to get bulk of road upgrade funds
