Breakthrough in Hyderabad Metro Talks

Discussions held in New Delhi between Telangana Chief Minister Revanth Reddy and Union Ministers Ashwini Vaishnaw, Manohar Lal Khattar, and G. Kishan Reddy have yielded positive progress on the Hyderabad Metro Rail project. The Centre and State agreed to appoint SBI Caps as a consultant to conduct a comprehensive study on the valuation and acquisition of Metro Phase-1, along with the financing, expansion, and implementation of Phase-2. Based on the report, both governments will finalize the future course of action and funding structure.

The Hyderabad Metro project has faced several challenges due to delays in Phase-1 completion, the impact of the COVID-19 pandemic, and financial losses incurred by L&T. With the Telangana government taking over Metro Phase-1 and planning the expansion of Phase-2, discussions also focused on debt restructuring and securing lower-interest funding through the Indian Railway Finance Corporation (IRFC). A coordination committee comprising officials from both the Centre and State has been formed to accelerate the process. Union Minister Kishan Reddy described the meetings as constructive and reiterated his commitment to supporting Telangana’s development initiatives.