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HMDA In Need Of Cash For PVNR Expressway
Posted by Pradeep Sadanapalli | March 15, 2009 | 794 views
(2 votes, average: 4.5 out of 5)
Loading ...To complete the PVNR Expressway , the HMDA plans to secure loans from banks as it has no funds. The Hyderabad Metropolitan Development Authority (HMDA) hoped to raise money through land auctions but there has been no response for that.
There has also been no response from the five district collectors-Hyderabad , Ranga Reddy, Medak, Nalgonda and Mahaboobnagar-for contribution of funds from their urban local authorities, when HMDA asked them to contribute 10 per cent to the Metropolitan Development Fund (MDF), three months ago.
“To complete the ongoing projects including the PVNR Expressway, it has become inevitable to approach banks for loans,” HMDA member-secretary K Vijay Kumar told TOI.
According to sources, the HMDA is paying Rs 6 crore every month towards interest to Indian Overseas Bank (IOB) for the loan of Rs 500 crore it has taken in June 2008 for various projects.
The HMDA expected to raise more than Rs 100 crore through land auctions last month but got only Rs 8 crore.
“HMDA needs another Rs 100 crore for completion of PVNR Elevated Expressway. If funds are not generated, the works may suffer after three months,” HMDA chief engineer Vivek Deshmukh said.
He said the PVNR Expressway flyover was scheduled to be ready by August this year but will be delayed by at least two months if funds pose a problem.
SOURCES:
Times Of India
Topics: Govt Failures, Construction, Infrastructure |
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