Japan offers loan at 1% rate for India's US$15 billion bullet train

New Delhi: Japan has offered to provide loan at less than one per cent interest rate for India’s first bullet train between Mumbai and Ahmedabad costing US$ 15 billion. However the funds are offered on the condition that India buys 30 per cent of equipment from Japanese firms. The offer has made Japan a favourite to win the tender for the project, which will be put out to bid soon. Earlier, Japan was allotted the task of assessing the technical and financial feasibility of creating a 505 km long corridor between Mumbai and Ahmedabad. Last month, China won the task of assessing feasibility of a high-speed train between Delhi and Mumbai, which is expected to cost about US$ 30 billion.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.