India and Japan are planning to set up a joint revolving fund of $9 billion to invest in the Delhi-Mumbai Industrial Corridor (DMIC) project. Once completed, DMIC will connect Delhi with country’s commercial hub through a mega infrastructure project spread over 1483 kms incorporating nine Mega Industrial zones of about 200-250 square kms, high speed freight line, three ports and six air ports.
Commerce and Industry Minister Anand Sharma discussed on this matter with Japanese Prime Minister Naoto Kan during his recent visit to Tokyol. Prime Minister Kan called for a partnership in development of India’s infrastructure, specifically referring to ambitious DMIC project. Mr. Sharma highlighted the importance attached by India to the project which has now decisively moved from the stage of master planning to project implementation. This project will see investments of over $100 billion and is being seen as a flagship initiative of Indo-Japan partnership. Mr. Sharma proposed the establishment of a revolving fund of $ 9 billion with matching contribution from Indian and Japanese side to kickstart the implementation process. Japanese Prime Minister agreed to enhance the financial contribution of Japan and was positively receptive to the suggestion. Mr Sharma urged for greater Japanese investments in areas of core infrastructure and capital goods equipment including power generation where Japanese companies have a technological edge.