B-SMILE corners 14% of total outlay of budgets of five corporations

Bengaluru Smart Infrastructure Limited (B-SMILE), a Special Purpose Vehicle (SPV) set up by the State government to execute large-scale infrastructure projects such as the twin tunnel road and elevated corridors, has cornered ₹2840.55 crore, 14% of the total outlay of all five corporation budgets — ₹20217.66 crore. While a part of these funds will fund major infrastructure works in the city, a major chunk will go towards repaying loans raised by the SPV to fund tunnel roads.

Under the erstwhile Bruhat Bengaluru Mahanagara Palike (BBMP), BSMILE had submitted an undertaking to Housing and Urban Development Corporation (HUDCO) — which gave a loan of over ₹19,000 crore for tunnel road phase 1 — that advertisement and premium Floor Area Ratio (FAR) revenue from the city will be credited into an escrow account towards repayment of the loan.