Indian Railway Finance Corporation (IRFC) has agreed to extend a ₹13,615 crore loan for the Telangana Government for the takeover of Hyderabad Metro Rail (HMR) from L&T Metro Rail Hyderabad.
The State Cabinet was informed that the Hyderabad Metro had approved the loan with a repayment period of 20 years, with a guarantee from the Telangana Government. The legal formalities for availing the loan and procedural aspects of the takeover of Hyderabad Metro will now have to be worked out, according to official sources. A formal announcement on the takeover modalities is likely to be made soon.
In February, the State cabinet approved the acquisition of a 100 per cent equity stake in Phase I of the project. The transaction includes approximately ₹13,000 crore and ₹2,000 crore existing debt, along with payments toward L&T’s equity investment. The key aspects of the takeover include financial restructuring, transfer of assets and liabilities, and continuity of metro operations.
The initial deadline for the takeover was set for March 31, 2026, and was later extended to April 30, 2026.
Published on April 24, 2026