Kochi Metro Rail Limited and the German Development Bank, Kreditanstalt für Wiederaufbau (KfW) signed the drawdown agreement today for the €85 million loan that KfW is providing for the integrated water project in Kochi.
The agreement detailing the disbursement procedure and schedule of the KfW loan was signed between Mr. Abraham Oommen, Director Finance, KMRL and Mr. Felix Klauda, the Head of Division, Urban Development and Mobility, KfW today afternoon at 2pm at the KMRL Office in Kochi, in the presence of His Excellency Dr. Martin Ney, German Ambassador to India. Kochi Corporation Mayor Ms. Soumini Jain and KMRL MD Mr. Elias George also will also be present on the occasion.
“Germany has fifty years of experience in planning smart cities and we are proud to be in partnership with Kochi which is on its way to being a smart city and we intend to start our journey towards a smart city though sustainable, environment friendly urban mobility.” – Dr. Martin Ney, German Ambassador to India.
He was accompanied by Ms. Annette Baessler, Counsel for economic affairs, German Embassy, Mr. Sayeed Ibrahim, Counsel for Kerala, German embassy, Ms Usha Rao, Senior Sector specialist, Urban Development, KfW and also his wife Dr. Gabriella Ney
“This project that we are going to launch tomorrow is going to be a lot more impactful for the people of the Kochi backwaters than the Metro can ever be as it seeks to transform the poorer communities who live on the islands and the Vembanad lagoon by giving them access to the economic opportunities which are available in the heart of the city.” said Elias George, Managing Director KMRL
“The water Metro Project is not just about putting boats on the water but also putting roads on the islands, which are ill-served by connectivity and electric buses on those roads. There’s even a lighting component so people can go home safe and work longer. The project will also focus on creating a system wherein people who travel by their own vehicles opt for public transport, once the entire integrated transport model is in place. All in all KMRL is looking at having boats in the water by 2018 and completing the project within the next four years”, he added.
The total cost of the project is Rs.747 crore, excluding Rs.72 crore for land acquisition, of which KfW would give financial assistance to the extent of 85 million Euros, i.e. approximately Rs. 597 crore as a long term soft loan. Rs.102 crore would be contributed by the Government of Kerala.
The project would be financed by the Indo-German Bilateral Cooperation, under the ‘climate friendly urban mobility’ plan.