Japan to announce more loan for corridor project

Japan Prime Minister Yoshihiko Noda informed that the country would announce the second round of loans under Overseas Development Assistance (ODA) for the second phase of the Dedicated Freight Corridor and a third infrastructural project in South India, reports suggest.

Noda has reportedly informed this to Prime Minister Manmohan Singh when the two leaders met on the sidelines of East Asia Summit. The fresh loan amount is expected to be 184 billion yen, approximately $2.26 billion.

Noda is also learnt to have mentioned Japanese interest in continuing the consultation on the high-speed railways.

The Japanese premier told Singh that he wanted to discuss the next steps in the relationship since they could not meet in Tokyo for the Annual Summit owing to domestic developments in Japan, reports indicate.

Singh, while welcoming the announcement of loan, emphasised to Noda that India's priority was investments by Japanese companies in infrastructure projects like Delhi Metro Rail, which was a "fine example" other cities want to emulate.

Noda expressed happiness at being able to meet Singh to underline the close Strategic and Global Partnership between the two countries, reports suggest.