CHENNAI: The Japan International Cooperation Agency (JICA) will offer loan assistance of Rs 20,196 crore for the 52.01 km phase-II of Chennai Metro Rail project, the Tamil Nadu government said Saturday.
JICA has approved funding for the second phase, which would cost an estimated Rs 40,941 crore, a state government release said.
It is aimed at extending Metro rail connectivity between Madhavaram and Sholinganallur (35.67 km) and from Madhavaram to Chennai Mofussil Bus Terminus ( CMBT) (16.34 km), the release added.
Union Finance ministry, additional secretary, C S Mohapatra and Japan Ambassador to India, Kenji Hiramatsu formally exchanged documents at an event in New Delhi, Friday.
The loan agreement for providing the first tranche under the Official Development Assistance (ODA) of 75,519 million Japanese Yen (about Rs 4,770 crore) was also signed between Mohapatra and JICA, chief representative, Katsuo Matsumoto.
The funding would further enhance Metro Rail connectivity to various parts of the city.
Additional chief secretary, TV Somanathan and Chennai Metro Rail, managing director, Pankaj Kumar Banswal were also present on the occasion.