BoM lends ₹1,500 cr to MMRDA for slum redevelopment

The Mumbai Metropolitan Region Development Authority (MMRDA) has obtained a significant financial boost for its inaugural slum redevelopment project in Mumbai’s Ghatkopar, securing a ₹1,500 crore loan from the Bank of Maharashtra (BoM).

This loan marks the first major financial closure for MMRDA’s ambitious ₹8,498 crore Slum Rehabilitation Authority (SRA) project, which will initially focus on redeveloping Ramabai Ambedkar Nagar and Kamraj Nagar in Ghatkopar.

MMRDA Metropolitan Commissioner Sanjay Mukherjee emphasized the project’s broader vision, stating, “This is not just a redevelopment project — it is a blueprint for inclusive and self-sustaining urban renewal… Ramabai Nagar’s transformation will serve as a model for future SRA initiatives across the Mumbai Metropolitan Region.” He highlighted the funding strategy, with 46% through institutional loans and 39% via internal revenue, ensuring fiscal responsibility.

Of the total ₹8,498 crore project cost, ₹3,916 crore is slated to come from institutional loans, with the BoM’s ₹1,500 crore representing the initial tranche for Phase 1 implementation. MMRDA stressed its “diversified funding strategy” to ensure the project’s financial viability.

Maharashtra Chief Minister Devendra Fadnavis hailed the initiative, saying, “The Government of Maharashtra has taken a decisive step in resolving redevelopment challenges that have remained unresolved for decades… This initiative is a reflection of our resolve to drive inclusive urban growth that leaves no community behind.”

MMRDA aims to transform the densely populated, older slum clusters into a dignified and well-planned residential area, also incorporating relevant commercial developments.