Mega Funding for Mumbai: ₹21,500 Crore Road Project Secured

The Maharashtra government has secured ₹21,500 crore in funding commitments from lenders for a major road project near Mumbai, aimed at reducing congestion and enhancing infrastructure in the metropolitan region, according to sources.

The Maharashtra State Road Development Corporation Ltd. (MSRDC), a state-run entity, has obtained financing commitments for the construction of the Multi-Modal Corridor, a high-end road project designed to improve connectivity and road quality as part of a broader infrastructure overhaul in the densely populated Mumbai region.

Among the key financiers, Rural Electrification Corporation Ltd. (REC) has pledged ₹10,000 crore, while the National Bank for Financing Infrastructure and Development (NaBFID) and India Infrastructure Finance Company Ltd. (IIFCL) have committed ₹3,000 crore each. Other lenders, including Punjab National Bank, Bank of India, Bank of Maharashtra, and UCO Bank, are also contributing. REC confirmed its commitment in response to Bloomberg News queries, while MSRDC and NaBFID did not comment.

Prime Minister Narendra Modi has prioritized infrastructure development as a key driver of economic growth. The central government has significantly increased its budget for roads and highways, allocating ₹2.78 lakh crore in FY25—more than triple the amount from five years ago, according to Crisil Ratings.

The funding will be disbursed in phases, with construction set to begin in the next financial year starting April. The project has recently invited bids for execution, marking a significant step in Maharashtra’s infrastructure expansion.

News by Rahul Yelligetti.