How IRFC’s ₹13,600 crore deal gives Telangana full ownership of Hyderabad Metro
HYDERABAD: Indian Railway Finance Corporation (IRFC) has signed an agreement with L&T Metro Rail Hyderabad for refinancing the Hyderabad Metro Rail project with a ₹13,600 crore loan facility.
The agreement was signed in the presence of Telangana Chief Secretary K. Ramakrishna Rao. IRFC Chairman and Managing Director Manoj Kumar Dubey and senior officials exchanged the agreement documents.
Under the arrangement, IRFC will provide a ₹13,600 crore loan facility with a tenure of 20 years. The loan will be used to refinance existing borrowings of the Hyderabad Metro Rail project. Repayments will be made on a quarterly basis.
Refinancing aimed at strengthening project finances
Officials said the refinancing package is expected to provide long-term financial stability to the metro project by replacing existing debt with a structured repayment mechanism extending over two decades.
The Hyderabad Metro Rail project is one of the largest urban mass transit systems in the country and serves the Hyderabad metropolitan region.
Chief Secretary K. Ramakrishna Rao said the refinancing arrangement has enabled the transfer of 100% ownership of Hyderabad Metro Rail to the Telangana government.
The development marks a significant step in the state government’s efforts to assume complete ownership and oversight of the metro rail network.
