Last Updated: June 6, 2021, 0720hrs
The final credit sanction for Rs 3725 crore from the State Bank of India (SBI) was received on Friday by Yamuna International Airport Pvt Ltd (YIAPL) for the development of Noida International Airport (NIA).
Christoph Schnellmann, the Chief Executive Officer of Yamuna International Airport Private Limited said, “We are extremely delighted to partner with the State Bank of India, the country’s largest bank, for financing the development of the Noida International Airport. The entire loan of INR 3725 crore has been underwritten SBI in a door-to-door loan tenor of 20 years. We look forward to working closely with SBI to develop NIA as a world-class airport in India. The project will not only boost the Indian economy but will also help in employment generation in Uttar Pradesh and Delhi NCR region”.
“YIAPL now looks forward to the conclusion of UP government’s resettlement and rehabilitation process and the start of construction of the airport. This partnership will bring progress to the state of Uttar Pradesh and will bolster the Indian aviation’s growth story,” YIAPL said.
The funding is a crucial milestone for the project as it validates the financial viability of the project while also outlining the next steps for the establishment of the Noida International Airport.
When it won the bid on November 29, 2019, to build and operate the Noida airport, Zurich Airport International had said the airport will be able to handle 12 million passengers per year after the first phase of construction.
Officials of the Uttar Pradesh government and the Swiss company had signed a concession agreement on October 7 2020 to begin the construction of the Noida airport that estimated to cost Rs 29,560 crore.
In December 2020 the master plan for the first phase of construction was submitted to the UP government and a four-company consortium was selected to design the passenger terminal for the greenfield airport.
Zurich Airport International AG (ZAIA), a fully owned subsidiary of Flughafen Zurich AG. It is the main shareholder of YIAPL and has injected Rs 2005 crore into the development of NIA.