GMR gets Rs 1,330 cr debt from Axis Bank for North Goa airport

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GMR Goa International Airport Limited (GGIAL), a subsidiary of GMR Airports Limited, announced on Monday that Axis Bank would provide Rs 1,330 crore as debt for the construction of the upcoming greenfield airport at Mopa, in North Goa.

Last year, GMR Airports Ltd had won the bid to develop and operate the greenfield airport at Mopa following which it signed a concession agreement with the state government. As per the agreement, GMR would design, build, finance and operate the international airport for 40 years, with an extension option for another 20 years.

The greenfield airport would be developed in stages and be scaled up as per traffic growth demands. Goa has been witnessing an aviation boom with traffic at the existing Dabolim growing at a rate of about 30 percent annually, for the past three financial years.

“Having tied up funding for the project, we are working towards starting on-ground construction activity post monsoon,” says Srinivas Bommidala, chairman airports, GMR Group. “We are confident that the development of the new airport will significantly boost tourism in Goa and also lead to employment opportunities for Goans.”
 
Sidharath Kapur, president, GMR Airports Ltd, adds, “The entire debt of Rs 1,330 crore was underwritten by Axis Bank on a long-tenor of 18 years, on competitive terms. The confidence of banks on the project reflects the intrinsic strength of the project and also the operational and delivery capability of GMR Airports Ltd.”