The European Investment Bank (EIB) will invest 650 million euro(€) in the construction of Kanpur’s(Uttar Pradesh) 1st city metro line. The 32.4 km urban rail line, with 18 elevated and 12 underground stations is EIB’s 2nd biggest operation outside the European Union(EU) till date. It is the 2nd metro rail project supported by the EIB in Uttar Pradesh(UP), following the €450 million investment in Lucknow metro rail system. Uttar Pradesh Metro Rail Corporation Ltd (UPMRC) is the promoter-Financial intermediary for this project.
Agreement Signed
For this purpose an agreement was signed in the virtual presence of H.E. Ugo Astuto, Ambassador of the EU to India; Andrew McDowell, Vice President of EIB; CS Mohapatra, Additional Secretary, Department of Economic Affairs, Ministry of Finance (GOI), Kumar Keshav, Managing Director of UPMRC among others.
Key Info
i.The 650 million euro investment is the 5th investment of EIB in green infrastructure and connectivity in India.
ii.The EU bank has invested in metro rail systems in Bhopal, Pune, Bangalore and Lucknow.
iii.With this investment in Kanpur, EIB’s approved support for metro rail systems in India has reached €2.65 billion, which is more than half of the total EIB investment portfolio in India(€4.2 billion)
iv.The project contributes to global climate action while strengthening EU-India relations.
Benefits of Kanpur metro rail Project
i.It will enable about 3 million people in Kanpur to benefit from green, safe, fast and affordable public transport.
ii.On completion of the rail, it will create 1,100 new jobs and enable around 116 million more affordable commutes every year
iii.It will create an affordable and accessible public transport network and an alternative to heavily congested streets.
iv.It will also minimise pollution and greenhouse gas emissions and helps to improve air quality across the city.
Additional Info
i.The investment will advance the social and economic recovery of the city from the impact of the COVID-19 pandemic and support the local economy in the long-term revival.
ii.This investment will boost GOI and its Urban Development “Smart Cities Mission”, as Kanpur is one of the first 100 targeted Smart Cities in the country.
iii.The project will also help India to achieve few UN Sustainable Development Goals (SDGs), namely: SDG 13 (climate action), SDG 11 (sustainable cities) and SDG 5 (gender equality).
EIB in India:
EIB since the beginning of its operations in India(1993), has supported 17 projects in the country and invested close to €4.2 billion in transport, energy, agriculture, among others.
Recent Related News:
i.Export-Import Bank of India (EXIM Bank) , a specialized financial institution wholly owned by Government of India (GoI),has provided a line of credit (LOC) of $215.68 million to the Malawi government.
ii.Asian Infrastructure Investment Bank(AIIB) approved a 2nd loan of USD 750 million to India under the bank’s USD 10 billion COVID-19 Crisis Recovery Facility(CRF); this loan is co-financed by the Asian Development Bank (ADB) to assist India to fight against COVID-19 & its impact on poor.
About EIB:
President– Werner HOYER
Headquarters– Luxembourg
