JBIC may fund Mumbai projects

Maharashtra is in talks with the Japan Bank of International Cooperation (JBIC) for securing funding for two important projects line three of Mumbai Metro between Colaba and Mahim, and extending the expressway from Panvel to Sion.

Both projects are the state government's ambitious $60 billion Mumbai Metropolitan Region Makeover programme.

A senior official from the state government told Business Standard: "JBIC delegation met Chief Minister Vilasrao Deshmukh and promised him the bank's cooperation for Mumbai's infrastructure projects on a case-t-case basis."

The JBIC's offer to finance infrastructure projects have come as a big relief to the state which was involved with a bitter battle over rehabilitation norms for project affected persons (PAP).

The ambitious Rs 6,000 crore Mumbai Urban Transport Project I (MUTP I) is partially funded by World Bank and following complaints regarding rehabilitation, bank had suspended the loan for project for nearly six month which was resumed by the bank afterwards.

Since then Maharashtra had been searching for alternatives to finance various components of Mumbai Makeover project.

The cost of extending the expressway from Panvel to Sion is estimated to be Rs 750 crore and we are still awaiting the final report from our consultants for Metro project, Delhi Metro Railway Corporation (DMRC) on Colaba-Mahim line of Metro project and then only, we will able to know what will be the cost of project, he said.

The Colaba-Mahim line is a 17 km line which is underground and runs through island city. It is expected that DMRC will submit its report within next fortnight, he added.