The proposal for the Delhi-Mumbai Industrial Corridor (DMIC) is set to see fresh Cabinet approval as Japan has shown keen interest in picking up 26% stake in the project. The Cabinet had cleared the project in September.
A top Department of Industrial Policy and Promotion (DIPP) official told FE that ?since Japan has formally written to the DIPP, showing interest in picking up stake in the project, we will move the Cabinet again for a fresh approval?.
FE first reported that India?s $90-billion urbanisation project to build a Delhi-Mumbai Industrial Corridor will get a boost with the government plan to offer 26% in the venture to Japan. Currently, DIPP has sent this proposal to the finance ministry, which once approved by it, will be sent to the cabinet.
The official also added, “As the Japanese Prime Minister Yoshihiko Noda is visitig India it is expected that he will himself also emphasise on Japan wantig to pick up this stake.”
On being asked whether the government wil consider the request of Japan and is it likely to approve, the official said, “Yes, it is likely to get approved as Japan will be investing in the project majorly so we do not mind giving them a stake.”
The DMIC Development Corporation (DMICDC) is a special purpose vehicle for implementing the ambitious $90 billion project for building industrial enclaves along Delhi-Mumbai rail corridor, encompassing seven states ? Delhi, Uttar Pradesh, Haryana, Rajasthan, Gujarat, Maharashtra and Madhya Pradesh.
