Bangalore infrastructure projects hit by slowdown

The slowdown is forcing Bangaloreans to pay a price. The state government has cut back budgets on developmental projects.

Here is a verbatim transcript of Sunanda Jayaseelan's comments on CNBC-TV18. Also watch the accompanying video.

The Bangalore Mahanagara Palike has just received a rude shock. The slowdown has reportedly forced the state government to cut its Rs 300 crore budget by nearly half for city infrastructure projects. It first released Rs 150 crore and the balance was supposed to have been released by the end of March. But now, this will not happen.

MN Sreehari, Infra Advisor to Karnataka government, said, "The government had announced that many infrastructure projects will be shelved due to the economic crunch."

Infrastructure projects will be the first ones impacted. It has been estimated that over 75% of the 96 roads which were to have been widened and six flyovers in the pipeline will not get completed now due to the cash crunch.

The biggest blow could be to the metro rail project that has already been delayed several times over.

MN Sreehari, Infra Advisor to Karnataka Government, said, "This cash crunch will mean the Metro rail project will not come up as fast as planned. Further, the Mono rail project looks highly doubtful now."

The most worrying part though is the fact that most of these projects have been tendered and finalised when such projects will get completed if at all is now anybody's guess.