Japan govt keen to fund Delhi Metro's phase IV project

The Japanese government funding agency JICA is keen to extend its association with the Delhi Metro Rail Corporation (DMRC) beyond the phase III, a senior official of the agency said.

The Chief Representative of Japan International Cooperation Agency (JICA) India office Takema Sakamoto said there is a need for huge capacity expansion in public transportation and the agency is likely to discuss further association with the Delhi Metro.

"For public transportation, we need huge capacity and that is why we are now discussing for the further extension for the Delhi Metro even after the phase III. The DMRC is likely to request for support for the phase IV very soon," Sakamoto told PTI.

JICA has been supporting DMRC's metro project since phase I construction in 1997.

"We are now supporting the construction of the phase III of the DMRC and it is targeting completion in 2016 or next year," he added.

The third phase of the DMRC is being supported by JICA with a 48.57 per cent loan by the Japanese funding agency.

The estimated cost of the third phase project is Rs 41,079 crore.

The loan comes at a concessional rate of 1.4 per cent and carries a repayment period of 30 years with grace period of 10 years.

Sakamoto said DMRC is also likely to make a further request for procurement of many more coaches for enhancement of the transportation capacity in the capital.

JICA is ready to discuss the proposal with the Indian government, including the Union Road and Transport Minister Nitin Gadkari and Delhi Chief Minister Arvind Kejriwal, he said.

Sakamoto said the agency is also likely to support the high speed bullet train project proposed between Mumbai and Ahmedabad.

The matter is being discussed directly between the two Prime Ministers' offices --Narendra Modi (India) and Shinzo Abe (Japan).

"The bullet train project has been discussed between the two Prime Ministers' offices. The high speed railway investment is very safe. We do not need very large space for building stations. That is why we can squeeze the cost," Sakamoto said.

The bullet train project will be supported both in the form of yen loan and technical assistance, he added.

During Abe's India visit in December, the two countries vowed to realise 3.5 trillion yen of public and private financing to India in five years under the 'Japan-India Investment Promotion Partnership'.