Bengaluru Business Corridor Approved to Slash 40% of City Traffic: ₹27,000 Crore Project to Be Done in 2 Years

In a landmark decision aimed at decongesting Bengaluru, the state cabinet on October 17, 2025, approved the Bengaluru Business Corridor (BBC) — a reimagined version of the long-pending Peripheral Ring Road (PRR). The sprawling 117-kilometre corridor is projected to cost ₹27,000 crore and is slated for completion within two years under the stewardship of the Bangalore Development Authority (BDA), backed by a loan from HUDCO. 

Vision & Route Alignment

The BBC is envisaged as a circular arterial route that will connect key entry and exit highways: Tumakuru Road, Yelahanka, Whitefield, Electronics City, and Mysuru Road. Roughly 73 km of the corridor will traverse northern Bengaluru, with the remainder covering the southern segment. 

By offering a robust alternative to the NICE Road, the corridor aims to relieve 40% of existing traffic within Bengaluru. 

Design, Land & Compensation Strategy

Originally conceived with a 100-metre right-of-way (ROW) width, the plan has been revised to a 65-metre ROW, matching the width of the Bengaluru–Mysuru Express Highway. The remaining 35 metres from the original design will be handed back to landowners as compensation. 

Compensation and incentives include:

• Cash payouts:

 • In urban (former BBMP and CMC) zones: 2× guidance value (GV)

 • In rural zones (within 5 km of erstwhile BBMP limits): 3× GV 

• Transferable Development Rights (TDR) under BBMP norms

• FAR/FSI utilization on residual land plots of farmers

• If landowners give less than half an acre (20 guntas), they receive only cash

• A 35-metre commercial corridor will be developed adjacent to the PRR, with 35% of the developed land earmarked for the affected landowners 

If owners resist surrendering land, compensation amounts may be deposited in court and acquisition proceeds without de-notification. 

Additionally, a 5-metre median reservation is being considered for future metro integration. 

Implementation & Challenges Ahead

Deputy CM and Bengaluru Development Minister D.K. Shivakumar affirmed the two-year timeline, noting HUDCO has already sanctioned the loan. However, challenges remain: land acquisition, resettlement disputes, legal delays, and ensuring smooth integration with existing road and metro infrastructure.

The promise to reduce traffic by 40 % is ambitious. Success hinges on disciplined execution, public cooperation, and the balancing act of infrastructure growth and protection of landowner rights.

If done right, the BBC could become a transformative spine for Bengaluru’s mobility and urban expansion.