You are here: Home » Economy & Policy » News
Business Standard

Japan gives India Rs 66.68-bn loan for Chennai metro, development projects

The first loan is for construction of a subway system in Chennai. It is expected that approximately 330 thousand people will use the 3rd line between Madhavaram Milk Colony Station and Sholinganallur

ANI  |  New Delhi 

Prime Minister Narendra Modi  with his Japanese  counterpart Shinzo Abe during the joint press statement  in Tokyo on Monday. Photo: PTI
Prime Minister Narendra Modi with his Japanese counterpart Shinzo Abe. File photo: PTI

will receive a loan to the tune of Rs 66.68 billion from for various development projects.

The loan will used to develop the phase two of the project, a dairy development project and a programme for Japan-cooperative actions towards Sustainable Development Goals in

of to India and Additional Secretary, Department of Economic Affairs, Ministry of Finance, Dr.on Friday signed and exchanged notes here concerning the provision of three yen loan projects (total loan provision of up to JPY 105.497 billion, approximately Rs 66.68 billion).

The first loan is for construction of a subway system in Chennai. It is expected that approximately 330 thousand people will use the 3rd line between and (about 36.0 km) and it will reduce the traveling time between the two stations from the current two hours and fourteen minutes by automobile, to one hour and 8 minutes by 2029 (in 2 years after completion).

It is also expected that approximately 760 thousand people will use the 5th line between and (about 16.0 km) and it will reduce the traveling time between the two stations from the current 46 minutes by automobile, to 30 minutes.

This project is thus expected to contribute to the development of the regional economy and the improvement of the urban environment by easing traffic congestion.

Second loan is for the improvement of income levels of dairy farmers in India. This project is to provide a loan to the for the enhancement of farmers' access to the modern distribution network, improvement of and distribution infrastructure, capacity building of dairy cooperatives in the several eligible states under the agreement between JICA, National Dairy Development Board, and and Farmers' Welfare.

It is expected that 150 thousand dairy farmers will newly join dairy cooperatives, and the farmers' market will expand with This project is thus expected to improve the income levels of dairy farmers through increasing the sales of milk and

The third loan is for the institution building and policy development related to Sustainable Development Goals (SDGs) in India This program is to contribute to achieving SDGs by 2030 through providing a loan for strengthening the implementation system and the policy framework related to SDGs in India, with a view to promoting SDGs in social development sector.

For example, this program supports social sector development such as the enhancement of the ratio of the pregnant women who have access to safe medical check-up from 64 percent in 2016 to 75 percent in 2019, and the ratio of population who are provided with enough amount of safe drinking water from 82 percent in 2016 to 90 percent in 2019 in least developed regions.

Japanese ODA Loan commitment to India reached JPY 421.955 billion, approximately Rs 266.71 billion and the all-time-high in FY2018.

India is the largest recipient country of Japanese ODA Loan in FY2018 as well as in FY2017 on the commitment basis.

First Published: Sat, December 22 2018. 02:40 IST
RECOMMENDED FOR YOU