Japan to lend Rs 14k cr to India for metro, infra projects

30 Mar 2021 CW Team

India will also receive a Rs 264 crore (4 billion Yen) grant from Japan for improving the power supply situation in Andaman and Nicobar Islands.

The loan for the Delhi Metro project will be around Rs 7,947 crore (120 billion Yen) for supporting the phase-4 extension of the 12.5 km Mukundpur-Maujpur line, a 28.9 km Janakpuri West-RK Ashram line and a new 23.6 km Aerocity-Tughlakabad corridor.

Japan will assist Bengaluru Metro with a loan of over Rs 3,311 crore (50 billion Yen) for the phase-2 network to be extended to the central business district area, residential areas and the Kempegowda International Airport.

Meanwhile, a Rs 2,980 crore (45 billion Yen) loan for the Rajasthan rural water supply project will be provided by Japan for the construction of water treatment plants and related facilities, including a vast distribution network of nearly 20,000 km in Barmer and Jhunjhunu districts in the state.

The loan for the Himachal Pradesh crop diversification project phase-2 aims to promote agricultural productivity and sustainable crop diversification to higher value crops. Under this project, production infrastructure such as irrigation facilities and access farm roads will be developed, and sales from farmers will be promoted through various types of support, including the formation of farmer producer organisations.

The grant aid for Andaman and Nicobar Islands, the first overseas development assistance project of Japan for the islands, will enable the effective utilisation of renewable energy generated from solar PV.

The grant aid will be used to procure 15MWh batteries as well as power system stabilisers to allow the most effective utilisation of electricity generated by solar PV in South Andaman, including Port Blair.

Notably, the loan agreement signed between the two countries for most of the projects is tied to a common, broader theme—sustainable development in India.

Image Source

Japan has signed an agreement with India for providing a loan of over Rs 14,000 crore (225 billion Yen) for the development of various infrastructure projects in the country which include metro rail expansion projects in Bengaluru and Delhi, financing a crop diversification project in Himachal Pradesh and a rural water supply project Rajasthan. India will also receive a Rs 264 crore (4 billion Yen) grant from Japan for improving the power supply situation in Andaman and Nicobar Islands. The loan for the Delhi Metro project will be around Rs 7,947 crore (120 billion Yen) for supporting the phase-4 extension of the 12.5 km Mukundpur-Maujpur line, a 28.9 km Janakpuri West-RK Ashram line and a new 23.6 km Aerocity-Tughlakabad corridor. Japan will assist Bengaluru Metro with a loan of over Rs 3,311 crore (50 billion Yen) for the phase-2 network to be extended to the central business district area, residential areas and the Kempegowda International Airport. Meanwhile, a Rs 2,980 crore (45 billion Yen) loan for the Rajasthan rural water supply project will be provided by Japan for the construction of water treatment plants and related facilities, including a vast distribution network of nearly 20,000 km in Barmer and Jhunjhunu districts in the state. The loan for the Himachal Pradesh crop diversification project phase-2 aims to promote agricultural productivity and sustainable crop diversification to higher value crops. Under this project, production infrastructure such as irrigation facilities and access farm roads will be developed, and sales from farmers will be promoted through various types of support, including the formation of farmer producer organisations. The grant aid for Andaman and Nicobar Islands, the first overseas development assistance project of Japan for the islands, will enable the effective utilisation of renewable energy generated from solar PV. The grant aid will be used to procure 15MWh batteries as well as power system stabilisers to allow the most effective utilisation of electricity generated by solar PV in South Andaman, including Port Blair. Notably, the loan agreement signed between the two countries for most of the projects is tied to a common, broader theme—sustainable development in India. Image Source

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