India and the European Investment Bank (EIB) have signed a finance contract for first tranche loan of 250 million euros for Agra Metro Rail Project.

Prime Minister Narendra Modi had inaugurated construction work of Agra Metro project in Uttar Pradesh last year through video conference.

The loan document was signed by Rajat Kumar Mishra, Additional Secretary, Department of Economic Affairs, Ministry of Finance on behalf of Government of India and Edvardas Bumsteinas jointly with Roger Stuart, Head of Divisions on behalf of European Investment Bank (EIB) on Wednesday (22 December), according to a Finance Ministry release.

EIB had approved a total loan of 450 million euros to fund the Agra Metro Rail Project.

The project aims to provide safe, reliable, affordable and environment friendly public Mass Rapid Transit System for Agra which will improve mobility and support endeavour for planned urban development in the Taj city.

The financing from EIB will help to fund construction of 29.4 km metro corridor comprising of Corridor-1 from Sikandara to Taj East Gate (14 km) and Corridor-2 from Agra Cantt to Kalindi Vihar (15.4 km) in the Agra city.

Further, the project will enhance economic productivity of the city and catalyse job creation.

Union Ministry of Housing and Urban Affairs is the Central government’s line ministry for this Project and Uttar Pradesh Metro Rail Corporation Ltd. (UPMRCL) is the implementing agency, the release said.