Bank In Shanghai To Fund 2 Elevated Corridors
NDB to fund ₹5,106 crore elevated corridors in Hyderabad
By : L. Venkat Ram Reddy
Update: 2026-04-04 17:40 GMT
Hyderabad: The New Development Bank (NDB), headquartered in Shanghai, will fund the two major elevated corridor projects in the city, aimed at easing traffic congestion in the core areas. Both corridors start at Paradise Junction in Secunderabad, one going to Shamirpet on the Outer Ring Road junction on Rajiv Rahadari (SH-01), and the other to Dairy Farm Road on NH-44.
The project cost has been estimated at ₹5,106 crore, of which the NDB will provide ₹3,574 crore, or 70 per cent. Official sources said the state government would soon enter into a formal agreement with the NDB. The bank has agreed to extend the loan at a lower interest rate compared to commercial banks in India, sources added.
The government has accorded administrative sanction for the project cost, allocating ₹3,619 crore for the SH-01 corridor towards Shamirpet and ₹1,487 crore for the NH-44 corridor, to be executed with external assistance from the Shanghai-based lender. Permission has been granted to upload the preliminary project proposal report (PPR) on the Niti Aayog platform for further processing with the Government of India and the NDB, which has expressed its willingness to fund the initiative.
As per the PPR, the state government’s share stands at ₹1,532 crore (30 per cent), while external assistance will cover the remaining ₹3,574 crore (70 per cent). Land acquisition costs have been pegged at ₹1,565.65 crore for the SH-01 corridor and ₹375.03 crore for the NH-44 corridor. Construction costs are estimated at ₹2,232.89 crore and ₹652.08 crore respectively.
A fact-finding mission from the NDB visited Hyderabad on November 17 and 18, 2025. This was followed by a final appraisal mission on January 19, 2026, comprising a nine-member team from the bank’s Shanghai and India offices. The appraisal was conducted ahead of submitting project approval timelines to the department of economic affairs under the Union finance ministry.