Telangana CM urges Centre to fast-track SBI CAPS appointment for Hyderabad Metro rail restructuring

Chief Minister A. Revanth Reddy has urged the Central Government to immediately assign the valuation, refinancing, and future debt structuring for Hyderabad Metro Rail Phase I and II to SBI Capital Markets Limited (SBI CAPS). In separate letters to Union Ministers Manoharlal Khattar and G. Kishan Reddy, the Chief Minister stressed that an early appointment of the agency is crucial as the three processes are closely linked and must be examined together.

Reddy recalled a meeting on June 24 with Union Housing Minister Manoharlal Khattar, G. Kishan Reddy, and Railway Minister Ashwini Vaishnaw, where it was agreed that SBI CAPS would handle the valuation and financial assessment of Phase I, paving the way for its takeover by the Telangana Government. However, despite the passage of time, the assignment has not been formally entrusted, and the terms of reference have not been finalised or communicated to the state.

The Chief Minister warned that the prolonged delay in the takeover process is creating operational uncertainty and day-to-day challenges for the project. He also noted that the delay is affecting the approval of Phase II detailed project reports and the arrangement of suitable funding, leading to likely cost increases due to time overruns and escalation.

Reddy requested the Union Minister to take steps to entrust the assignment to SBI CAPS at the earliest and ensure the terms of reference are communicated to the Telangana Government. This, he said, would enable the decisions taken during the meeting to be implemented expeditiously, bring the Phase I takeover process to its logical conclusion, and allow the Phase II expansion to proceed without further delay.