Japan to offer India $42 bn in investments during Kishida’s visit: Report

Japan is currently supporting India’s urban infrastructure development as well as a high-speed railway based on Japan’s shinkansen bullet train technology

Topics


Japan | Narendra Modi | Shinzo Abe

Japanese Prime Minister Fumio Kishida is expected to announce a plan to invest 5 trillion yen (USD 42 billion) in India over the next five years during his visit to the country on Saturday, according to a media report.

The 5 trillion yen goal exceeds the 3.5 trillion yen in investment and financing over the five years that the then Japanese Prime Minister Shinzo Abe announced during his 2014 visit to India, Japan’s Nikkei newspaper reported.

Japan is currently supporting India’s urban infrastructure development as well as a high-speed railway based on Japan’s shinkansen bullet train technology.

Prime Minister Kishida is due to reveal the public-private funding during an economic forum. He is expected to pledge growth in direct investment in terms of value, as well as an increase in Japanese companies expanding into India, the prominent business newspaper said.

Kishida is also poised to agree to an approximately 300 billion yen loan during his meeting with Prime Minister Narendra Modi. An energy cooperation document concerning carbon reduction is expected to be signed between the two sides, it said.

During Saturday’s public-private forum, Kishida is also expected to express his support to further infrastructure development in India with the goal of drawing Japanese companies to build factories, the paper said.

India represents the first leg of Kishida’s three-day tour. He is scheduled to visit Cambodia on Sunday to meet with Prime Minister Hun Sen.

Japan and India are party to the Quadrilateral Security Dialogue, a security framework known as the Quad that includes the US and Australia. Cambodia serves as this year’s chair of the Association of Southeast Asian Nations.

Kishida plans to confirm the strengthening of security arrangements with Russia’s invasion of Ukraine in mind.

In 2020, Japan and India signed an acquisition and cross-servicing agreement, which allows for reciprocal provisions of food, fuel and other supplies between the Indian army and Japan’s Self-Defense Forces. Kishida and Modi are to reaffirm that they will push that deal forward, the paper said.

Kishida and Modi are expected to agree to convene a two-plus-two meeting between the two countries’ diplomatic and defence chiefs at an early date.

This will be Kishida’s first overseas trip as prime minister since he traveled to Great Britain in November.

Kishida, 64, is the president of the Liberal Democratic Party since 2021.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.


We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor