Japan's downgrade may impact DMIC: ASSOCHAM

The recent debt rating downgrade of Japan is likely impact the ambitious $ 90 billion and 1,483 km long Delhi-Mumbai Industrial Corridor (DMIC) project, the Associated Chambers of Commerce and Industry of India (ASSOCHAM) said on Friday.

Recently, the Moody's Investors Service's decided to lower Japan's sovereign rating, which ASSOCHAM fears would impact DMIC, about 38 per cent of which comes under Gujarat and 39 per cent in Rajasthan. An estimated 80 per cent of funds for DMIC will come from Japanese loan and assistance.

"The downgrade of Japan's credit rating by Moody’s Investor Service is going to have an adverse impact on the project," said Bhagyesh Soneji, chairperson, ASSOCHAM Gujarat Council.