Uttar Pradesh government approves proposal to secure Rs 120 billion loan from PNB for Purvanchal Expressway

The Uttar Pradesh government has approved the proposal to secure a Rs 120 billion loan from Punjab National Bank (PNB) for the construction of the Purvanchal Expressway. In the first phase, a loan of Rs 78 billion will be provided at an interest rate of 8.3 per cent for 15 years. The loan will be repaid in 48 instalments with a moratorium of three years through funds collected from toll on the expressway. The government has set a deadline of three years for project completion. However, the Uttar Pradesh Expressways Industrial Development Authority plans to complete it within 24-26 months. At present, 93 per cent of the land required for the project has been acquired.