Japan, India ink pact for DMIC project

India and Japan signed two important agreements on Monday for implementing the ambitious Rs 3,60,000 crore Delhi-Mumbai Industrial Corridor (DMIC) project which seeks to create integrated investment regions and industrial areas across six states. The agreements include collaborating in the development of eco cities that are environmentally and ecologically sustainable along the corridor and setting up of a project development fund to undertake activities like master planning & feasibility studies, preparing project reports and obtaining approvals and bid process management for projects. Bidding for the ‘early-bird’ projects — around twenty four identified by five states — is likely to begin in five months time, a government official has said. “DMIC is an important project and Japan has been an important partner in India’s development journey,” commerce and industry minister Anand Sharma said after the agreements were signed. The Delhi Mumbai Industrial Corridor Development Co-operation signed a memorandum of understanding with JETRO (in co-operation with Japan Bank for International Co-operation) for facilitating collaboration between Japanese and Indian companies from environment related sectors and providing expertise in development and promotion of DMIC projects including model eco cities or smart community initiatives at various locations in the DMIC region. The DMIC project development fund will be set up with equal contribution from the government of Indian and government of Japan. India has already approved a grant of Rs 330 crore (approximately $75 million) as the country’s contribution. The Japanese component of $75 million is being provided in the form of an untied loan from JBIC. According to DMICDC CEO and MD Amitabh Kant, bidding for the early bird projects will begin in the next four-five months. Most of the infrastructure work connected to the industrial corridor will be executed in public-private partnership (PPP) format.

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