Signing of Japanese ODA Loan Agreement with India: Contributing to Strengthening Japan-India Relation through a Variety of Assistance by Supporting India's Sustainable Economic Development, Human Resource Development, and Environmental Conservation

[Goal 8] Decent Work and Economic Growth
SDGs
[Goal 9] Industry, Innovation and Infrastructure
SDGs
[Goal 13] Climate Action
SDGs

2025.03.28

On March 27, the Japan International Cooperation Agency (JICA) signed a loan agreement with the Government of the Republic of India in the capital city New Delhi, to provide Japanese ODA loan for the following six projects.

Signing ceremony

Terms and Amount of Loan

Tamil Nadu Investment Promotion Program (Phase 3)

- Country (Target Areas)
Republic of India (State of Tamil Nadu)

- Project Objective
To improve the investment climate in Tamil Nadu state by strengthening policy framework, improving infrastructure, skill development, promoting emerging sectors, green industry and startup economy, thereby contributing to attract more investments into the state including foreign investments in an inclusive and sustainable manner.

- Project Component
Based on the policies of relevant departments of the state of Tamil Nadu to improve the investment environment and requests from the private sector, the policy matrix of policy actions to be achieved each year will be organized, and the achievement of these actions will be monitored by the state government and JICA to promote the achievement of the policy actions.

- Maximum Loan Amount
36,114 million Japanese Yen

- Annual Interest Rate
Project: 2.45%

- Repayment Period
30 Years

- Grace Period
10 Years

- Procurement
General Untied

- Executing Agency
Industries, Investment Promotion and Commerce Department, Government of Tamil Nadu

- Contribution to SDGs
Goal 8(Decent work and economic growth)
Goal 9(Industry, innovation and infrastructure)
Goal 17(Partnership for the goals)

- Planned Implementation Schedule
1. Completion of the Project: April, 2027, when the disbursement is completed.
2. Issuing of letters of invitation for consulting services (including detailed design work): The program will not implement consulting services.
3. Tendering of announcement of initial procurement package for international competitive bidding on project construction: The program will not conduct bidding for construction works.

Project for Capacity Enhancement for Effective Forest Management

- Country (Target Areas)
Republic of India (States and areas agreed with execution agency among all states in India)

- Project Objective
To enhance the capacity of forest personnel for implementation of forest policies through research and development, implementation of pilot projects, improvement of training systems and institutional strengthening in the area of forest and biodiversity conservation and climate change, thereby contributing to sustainable development in India.

- Project Component
a) Research
b) Project development (pilot projects)
c) Development of training system
d) Strengthening of organizational structure
e) Consulting services (project management, etc.)

- Maximum Loan Amount
8,280 million Japanese Yen

- Annual Interest Rate
Project: 2.25%, Consulting Services: 0.55%

- Repayment Period
30 Years

- Grace Period
10 Years

- Procurement
General Untied

- Executing Agency
Ministry of Environment, Forest and Climate Change, Government of India

- Contribution to SDGs
Goal 13(Climate action)
Goal 15(Life on land)

- Planned Implementation Schedule
1. Completion of the Project: December, 2031
2. Issuing of letters of invitation for consulting services (including detailed design work): June, 2025
3. Tendering of announcement of initial procurement package for international competitive bidding on project construction: International competitive bidding is not planned in this project.

Project for Construction of Chennai Seawater Desalination Plant (II)

- Country (Target Areas)
Republic of India (Chennai Metropolitan Area)

- Project Objective
To provide safe and reliable water supply by carrying out construction of a seawater desalination plant and its related water supply facilities, thereby improving living conditions of the residents including the poor people as well as the investment environment in the concerned areas in Chennai Metropolitan Area (CMA) in the State of Tamil Nadu.

- Project Component
a) Construction of the Seawater Desalination Plant (Production Capacity: 400MLD)
b) Construction of Water Pumping Stations and a Water Reservoir
c) Installation of Product Water Transmission Mains
d) Improvement of the Existing Water Distribution Networks
e) Installation of External Power Transmission Line
f) Consulting Services

- Maximum Loan Amount
52,556 million Japanese Yen

- Annual Interest Rate
Project: 2.45%, Consulting Services: 0.55%

- Repayment Period
30 Years

- Grace Period
10 Years

- Procurement
General Untied

- Executing Agency
Chennai Metropolitan Water Supply and Sewerage Board, Government of Tamil Nadu

- Contribution to SDGs
Goal 6(Clean water and sanitation)

- Planned Implementation Schedule
1. Completion of the Project: March, 2028, when all facilities are commissioned.
2. Issuing of letters of invitation for consulting services (including detailed design work): Already completed.
3. Tendering of announcement of initial procurement package for international competitive bidding on project construction: Already completed. Package for the Construction of the Seawater Desalination Plant

Delhi Mass Rapid Transport System Project (Phase 4 Additional Corridors)(I)

- Country (Target Areas)
Republic of India (National Capital Region of Delhi)

- Project Objective
To cope with the increase of traffic demand in Delhi by expanding the mass rapid transportation system, thereby promoting regional economic development, improving urban environment and eventually mitigating climate change, through relief of traffic congestion and decrease of pollution caused by increasing motor vehicles.

- Project Component
a) Civil engineering works for underground railway (about 11 km), elevated/at-grade railway (about 36 km), underground stations (9), at-grade station (1) and elevated stations (29).
b) Electrical, communication, and signaling systems, station facilities construction, new depot construction, existing depot expansion construction, automatic fare collection systems, etc.
c) Procurement of rolling stock (178 cars)
d) Consulting services (design review, construction supervision support, etc.)
Of these, the part covered by ODA loans is part of a), b), and c), and d).

- Maximum Loan Amount
79,726 million Japanese Yen

- Annual Interest Rate
Project: TORF+90bp, Consulting Services: 0.55%

- Repayment Period
30 Years

- Grace Period
10 Years

- Procurement
General Untied

- Executing Agency
Delhi Metro Rail Corporation Limited(DMRC)

- Contribution to SDGs
Goal 8(Decent work and economic growth)
Goal 9(Industry, innovation and infrastructure)
Goal 11(Sustainable cities and communities)
Goal 13(Climate action)

- Planned Implementation Schedule
1. Completion of the Project: March, 2029, when all facilities are commissioned.
2. Issuing of letters of invitation for consulting services (including detailed design work): August, 2025
3. Tendering of announcement of initial procurement package for international competitive bidding on project construction: Already completed. Package for Civil Works for Viaduct Portion
Release date: January, 2025

Assam State Aquaculture Promotion and Livelihood Improvement Project

- Country (Target Areas)
Republic of India, State of Assam(District of Barpeta, Nalbari, Kamrup, Nagaon, Morigaon, Lakhimpur, Cachar, Karimganj)

- Project Objective
The objective of the Project is to increase aquaculture production and improve rural livelihoods of fisheries stakeholders by promoting aquaculture, supporting for enhancing the fish supply chain and institutional strengthening of Directorate of Fisheries, thereby contributing to socio-economic development in Assam.

- Project Component
a) Support for improvement of aquaculture productivity
b) Support for the development of aquaculture supply chain
c) Support for diversification of livelihoods
d) Support for capacity building of the Directorate of Fisheries, Department of Fisheries, Government of Assam and aquaculture personnel in the state
e) Establishment and monitoring/evaluation of project management systems: (establishment of Project Management Unit (PMU) systems, strengthening of PMU capacities
f) Consulting services

- Maximum Loan Amount
3,580 million Japanese Yen

- Annual Interest Rate
Project: 1.70%, Consulting Services: 0.55%

- Repayment Period
15 Years

- Grace Period
5 Years

- Procurement
General Untied

- Executing Agency
Directorate of Fisheries, Department of Fisheries, Government of Assam

- Contribution to SDGs
Goal 1(No poverty)
Goal 2(Zero hunger)
Goal 8(Decent work and economic growth)

- Planned Implementation Schedule
1. Completion of the Project: November, 2029, when all activities are completed.
2. Issuing of letters of invitation for consulting services (including detailed design work): May, 2025
3. Tendering of announcement of initial procurement package for international competitive bidding on project construction: International competitive bidding is not planned in this project.

Punjab Biodiversity and Natural Resources Conservation Project

- Country (Target Areas)
Republic of India (State of Punjab)

- Project Objective
The objective of the Project is to enhance ecosystem services and mitigate impacts on climate change through increased trees outside forest, biodiversity conservation, integrated wetland management, livelihood improvement and institutional strengthening, thereby contributing to sustainable socio-economic development in Punjab.

- Project Component
a) Enhancing Trees outside Forest in Punjab
b) Biodiversity Conservation and Conservation based livelihoods
c) Integrated Landscape and Livelihoods Improvement in Shivalik Hills
d) Institutional Strengthening
e) Consulting Services

- Maximum Loan Amount
11,480 million Japanese Yen

- Annual Interest Rate
Project: 2.25%, Consulting Services: 0.55%

- Repayment Period
30 Years

- Grace Period
10 Years

- Procurement
General Untied

- Executing Agency
Department of Forests & Wildlife Preservation, Government of Punjab

- Contribution to SDGs
Goal 1(No poverty)
Goal 5(Gender equality)
Goal 13(Climate action)
Goal 15(Life on land)

- Planned Implementation Schedule
1. Completion of the Project: March, 2033, when all activities are completed.
2. Issuing of letters of invitation for consulting services (including detailed design work): May, 2025
3. Tendering of announcement of initial procurement package for international competitive bidding on project construction: International competitive bidding is not planned in this project.

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