Hyderabad, 9 July
Telangana Sanctions ₹7,345 Crore for Musi River Rejuvenation Project
The Telangana government has sanctioned ₹7,345.12 crore for the Musi River rejuvenation project, marking a major step towards restoring the river and transforming Hyderabad’s riverfront infrastructure. The approved amount includes a ₹4,500 crore (USD 500 million) loan from the Asian Development Bank (ADB) and a ₹2,845.12 crore grant from the state government. The sanctioned amount does not include land acquisition costs.
The funds have been allocated to the Musi Riverfront Development Corporation Limited (MRDCL) for carrying out development works on two priority stretches under Zone-1, covering a total length of approximately 21 kilometres.
According to the government order issued on Thursday, July 9, the project will be executed in Engineering, Procurement and Construction (EPC) mode. The government has also approved the appointment of a Project Management Consultancy (PMC) to supervise, monitor and implement the works in accordance with the Asian Development Bank’s guidelines.
Two priority stretches approved; Telangana Sanctions ₹7,345 Crore for Musi River Rejuvenation Project
The sanctioned works are divided into two major sections.
Zone-1A extends 9.20 kilometres from Himayat Sagar to Gandhi Sarovar (Bapu Ghat). The total project cost for this stretch, including operation and maintenance expenses, has been estimated at ₹3,232.01 crore.
The second section, Zone-1B, stretches 11.80 kilometres from Osman Sagar to Gandhi Sarovar. This portion will cost ₹4,113.11 crore, including operation and maintenance.
Together, the two stretches account for the entire ₹7,345.12 crore sanctioned by the state government.
Funding pattern; Telangana Sanctions ₹7,345 Crore for Musi River Rejuvenation Project.
Of the total sanctioned amount, ₹4,500 crore will be financed through a loan from the Asian Development Bank (ADB), while the remaining ₹2,845.12 crore will be provided as a grant by the Telangana government.
The state government’s contribution will be arranged through either the Hyderabad Metropolitan Development Authority (HMDA) or the Telangana State Industrial Infrastructure Corporation (TGIIC).
Officials clarified that the approved amount covers project execution and maintenance but does not include expenses related to land acquisition, which will be handled separately.
Chief Secretary reviews progress; Telangana Sanctions ₹7,345 Crore for Musi River Rejuvenation Project.
On the same day, Telangana Chief Secretary Sanjay Jaju visited the Phase-I stretch of the Musi Riverfront Development Project to review ongoing preparations and implementation plans.
During the inspection, he visited Osmansagar, the Narsingi Sewage Treatment Plant (STP) site and the proposed Gandhi Sarovar project area.
The Chief Secretary held detailed discussions with senior officials, including the Managing Director and Joint Managing Director of MRDCL, the Managing Director of the Hyderabad Metropolitan Water Supply and Sewerage Board (HMWSSB) and other department representatives.
The review focused on key aspects of the project, including flood mitigation measures, integration of sewage treatment infrastructure, land development readiness, and corridor-level urban infrastructure planning.
Aim of the Musi rejuvenation project; Telangana Sanctions ₹7,345 Crore for Musi River Rejuvenation Project
The Telangana government has launched the Musi River rejuvenation project to restore the river ecosystem while improving Hyderabad’s urban infrastructure through integrated riverfront development.
The project includes river restoration, sewage management, environmental conservation, public spaces, sustainable mobility, and modern urban infrastructure aimed at improving the quality of life for residents. – Telangana Sanctions ₹7,345 Crore for Musi River Rejuvenation Project.
According to the government, the Musi rejuvenation initiative is expected to drive economic growth and urban transformation across nearly 200 square kilometres of Hyderabad, making it one of the state’s largest urban infrastructure and environmental development projects.
Once completed, the project is expected to improve flood management, reduce pollution in the Musi River, create better public amenities, and support Hyderabad’s long-term sustainable urban development goals.