Japan commits Rs 14,251 crore loans to India for Infrastructure Projects
2016-04-01 Posted By:Infra Bazaar
NEW DELHI: Japan decided yesterday to give loans worth “242.2 billion Japanese yen” (about Rs 14,251 crore) for the upcoming 5 infrastructure development projects in India, including the Devoted Freight Corridor Project.
The loans, under Official Development Assistance (ODA) have been decided for the upcoming 5 major projects and other small projects. The major projects worth Rs 12,849 crore and the remaining Rs 1402 crore for the remaining projects. Those 5 major projects are:
1. Transmission System Strengthening Project which is yet to be start in Madhya Pradesh (JPY 15.45 billion or Rs 914 crore).
2. Odisha Integrated Sanitation Improvement Project (JPY 25.7 billion or Rs 1,520 crore).
3. Devoted Freight Corridor Project (Phase 1) (JPY 103.6 billion or Rs 6,170 crore).
4. North East Road Network Connectivity Improvement Project (JPY 67.1 billion or Rs 3,970 crore).
5. Jharkhand Horticulture Intensification by Micro Drip Irrigation Project (JPY 14.65 billion or Rs 275 crore).
All the loans will be continued through Japan International Cooperation Agency (JICA). Official Development Assistance (ODA) is mainly divided into Bilateral Aid and Multilateral Aid. Bilateral Aid - in which assistance is given directly to developing the countries and the Multilateral Aid - which is handed over through international organizations. Japan International Cooperation Agency (JICA) provides aid as Bilateral Aid to India in the form of Technical Cooperation.
All the notes were exchanged between “S. Selvakumar, Joint Secretary, Department of Economic Affairs, Government of India and Kenji Hiramatsu, Ambassador of Japan to India,” a finance ministry statement said.
Japan has decided a total of JPY 390 billion in the current financial year, ended yesterday, which is the highest amount decided in a year, it said.
India and Japan are having mutually beneficial economic development cooperation since 1958.
"In the most recent years, the economic cooperation between India and Japan has reinforced and developed into vital association. With general political accord and prominent backing for the more noteworthy participation between Indian and Japan the organization is balanced for an awesome future," it said.