Japan will provide over 225 billion Yen loan to support metro rail expansion projects in Delhi and Bengaluru, finance a crop diversification project in Himachal Pradesh and a rural water supply project in Rajasthan. The country will also offer a 4 billion Yen grant to improve the power supply situation in Andaman and Nicobar islands.
Agreements in this regard have been signed by Japanese Ambassador Suzuki Satoshi and C S Mohapatra, additional secretary, Department of Economic Affairs, Ministry of Finance on March 26, an official said.
The assistance will support Delhi Metro's Phase IV extension of 12.5 km Mukundpur-Maujpur line, a 28.9 km Janakpuri West-R.K. Ashram line and a new 23.6 km Aerocity-Tughlakabad corridor. Japanese assistance will see the Bengaluru Metro Phase 2 network getting extended to the central business district area, residential areas and the Kempegowda International Airport. Meanwhile, funding for the Rajasthan rural water supply project will see the construction of water treatment plants and related facilities including a vast distribution network of nearly 20,000 km in Jhunjhunu and Barmer districts in the state. The loan for the Himachal Pradesh Crop Diversification Project (Phase 2) aims at promoting agricultural productivity and sustainable crop diversification to higher value crops, and thereby improving farmers' income. Under this project, production infrastructure such as irrigation facilities and access farm roads will be developed and farmers' sales will be promoted through various types of support, including formation of farmer producer organisation (FPO).
The Japanese loan for Delhi Metro project will be close to 120 billion Yen. Over 50 billion Yen loan will be given for the Bengaluru Metro project and 45 billion Yen loan to support the Rajasthan project.
The grant aid for Andaman and Nicobar, the first overseas development assistance project of Japan for the islands, will enable 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 most effective utilisation of electricity generated by solar PV in South Andaman, including Port Blair, the official said.
Incidentally all the projects are tied to a common, broader theme - sustainable development.