Bengaluru, Feb 9 : Karnataka Infrastructure Development Minister M.B. Patil on Friday said that the government's target is to complete Bengaluru Suburban Rail Project (BSRP) by December 2007

'The target has been set to complete works in all four corridors and will be completed by December 2027. The implementation of BSRP -- funded by the loan -- will contribute to better mobility for citizens, reduced vehicular pollution, and the creation of a better environment resulting in improved quality of life in the city of Bengaluru,' the minister said.

On Friday, the nodal agency for implementing the Bengaluru Suburban Rail Project, K-RIDE, and Luxembourg-based KFW Development Bank inked an MoU for accommodating funds of Rs 4,561 Crore (Euro 500 million) for Bengaluru Suburban Rail Project (BSRP).

Manjula, Managing Director, K-RIDE, and Wolf Muth, Country Director, KFW Development Bank signed and exchanged the documents in the presence of Infrastructure Development Minister M.B. Patil.

As per the agreement, KFW would provide Rs 4,561 crore at 4 per cent interest for 20 years.

Patil said that the agreement highlights how the project is going to be executed under the loan.

'It mentions the terms and conditions of the loan towards the project, its repayment schedule, and obligations,' the minister said.

He said that this loan of Rs 4,561 Crore aimed at addressing critical infrastructure needs will be utilised for the works of Corridor-3 (Kengeri to Whitefield) Station and Viaduct, Corridor-4 (Heelalige to Rajanukunte) Station work, Depot-1 (Devanahalli), S and T Signal and Telecom), PSD Platform Screen Door), AFC (Automatic Fare Collection), Solar Panel and Security Equipment, MMI (Man Machine Interface).

'The government is committed to ensuring transparency and accountability in the utilisation of loan proceeds. Robust monitoring mechanisms will be in place to track expenditure and ensure that funds are used efficiently to maximise socio-economic benefits for our citizens, the Minister remarked,' he said.

He said that the BSRP sanctioned through the Ministry of Railways for a project costing Rs 15,767 crore aims to develop a suburban railway network of 148 Km with 58 stations along 4 corridors.

'The project is funded through the equity contribution of the Karnataka government, the Ministry of Railways and external borrowing in the ratio of 20:20:60,' Patil said.

/IANS