Consortium of eight banks approve loan for Telangana Drinking Water Grid Project

The Telangana Drinking Water Supply Project (Mission Bhagiratha) has received approval for raising a loan worth Rs 67.5 billion from a consortium of eight Indian banks. Led by Andhra Bank,  the consortium comprises Dena Bank, the Punjab and Sind Bank, Syndicate Bank, the Oriental Bank of Commerce (OBC), the Bank of Maharashtra, Indian Bank and Allahabad Bank. The funds raised will be utilised for undertaking drinking water supply works in the Karimnagar and Warangal areas of the state. While Andhra Bank has already approved Rs 13 billion for the project, the other banks are to initiate their approval process soon. Reportedly, Syndicate Bank, OBC, and the Bank of Maharashtra will contribute Rs 10 billion each, while Indian Bank will give Rs 7.5 billion. Further, the Punjab and Sind Bank has agreed to finance Rs 7 billion, while Dena Bank and Allahabad Bank are contributing Rs 5 billion each. The repayment period will begin from 2019 and the loan will have to be repaid within a maximum period of 12 years.