Delhi Metro Rail Corporation (DMRC) has paid back the Japan International Cooperation Agency (Jica) Rs 560 crore out of the Rs 16,000-crore debt extended by the agency to develop Phase-I and -II of the Metro project.
Jica had lent Rs 6,434 crore to finance the construction of the 65-km stretch of Phase-I of the Delhi Metro. The project, which was completed in 2002, was developed at a total cost of Rs 10,571 crore. Interest on the amount extended by Jica had been determined at an annual rate ranging between 1.30 and 2.30 per cent.
DMRC started paying back the loan for Phase-I and the interest amount in 2007. The total loan paid back for Phase-I stands at Rs 95.83 crore and the interest paid back on the amount for both Phase-I and -II is Rs 471.73 crore.
For Phase-II, nearly 49 per cent of the resources required – Rs 9,687 crore – have been funded by Jica. The loan has been extended at a rate of 1.20-1.40 per cent. The total cost of developing Phase-II of the Metro network is projected to be around Rs 20,000 crore and covers a route length of 124.61 km. It is expected to be commissioned by September this year. Phase-II is also crucial to the city from the Commonwealth Games point of view, because the Metro link will connect 10 of the 11 venues for the Games.
The loan payback period for both the phases is 30 years, with a moratorium of 10 years. DMRC can pay back the loan for Phase-I by 2035 and for Phase-II by 2040.
DMRC has the distinction of running one of the few Metro services in the world that make operational profit. The surplus generated from the service is used to pay back the loan taken from the Japanese government. After completion of both the phases, the Delhi Metro network will cover over 190 km in the NCR region.