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MMRDA secures Rs 1,500 crore loan for Ramabai Nagar redevelopment

By IANS | Updated: May 20, 2025 18:02 IST

Mumbai, May 20 The Mumbai Metropolitan Region Development Authority (MMRDA) has secured a Rs 1,500 crore loan from ...

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Mumbai, May 20 The Mumbai Metropolitan Region Development Authority (MMRDA) has secured a Rs 1,500 crore loan from Bank of Maharashtra for the redevelopment of Ramabai Ambedkar Nagar and Kamraj Nagar in Ghatkopar.

This marks the first major financial closure for MMRDA's Rs 8,498 crore Slum Rehabilitation Authority (SRA) project - the Authority's first-ever direct foray into large-scale slum redevelopment.

The MMRDA, in a statement, said this ambitious urban renewal project is aimed at transforming one of Mumbai's oldest and densest slum clusters into a dignified, well-planned residential zone.

"To ensure the financial viability of the project, MMRDA has adopted a diversified funding strategy. Of the total project cost of Rs 8,498 crore, Rs 3,916 crore is to be raised through institutional loans. The Rs 1,500 crore loan from the Bank of Maharashtra represents the first tranche in this funding plan. The agreement was executed. This not only facilitates the timely execution of Phase 1 but also underscores the robustness of MMRDA's financial planning and project execution capabilities," said the MMRDA statement.

Chief Minister Devendra Fadnavis said, "This redevelopment project exemplifies our government's commitment to building an equitable, future-ready Mumbai where every citizen has the right opportunity to thrive. Our vision is to uplift communities by providing not just housing, but dignity and security - and we are relentlessly working towards this through active collaboration with institutions and executing agencies."

"The Government of Maharashtra has taken a decisive step in resolving redevelopment challenges that have remained unresolved for decades.

On the other hand, Deputy Chief Minister and MMRDA Chairman Eknath Shinde said, "The Rs 1,500 crore loan approval is a strong endorsement of the Government of Maharashtra and MMRDA’s shared vision for transforming lives through infrastructure. This project will bring long-awaited change to thousands of families in Ramabai Nagar - ensuring better homes, better futures, and stronger communities."

Metropolitan Commissioner Sanjay Mukherjee said by structuring the project with 46 per cent funding through institutional loans and 39 per cent via internal revenue mechanisms, MMRDA is ensuring fiscal discipline while delivering people-centric development.

Ramabai Nagar's transformation will serve as a model for future SRA initiatives across the Mumbai Metropolitan Region.

Disclaimer: This post has been auto-published from an agency feed without any modifications to the text and has not been reviewed by an editor

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