JICA extends loan of Rs 3,500 cr for energy sector
Japan International Cooperation Agency (JICA) on Monday signed agreements with the Small Industries Development Bank of India (Sidbi) and the Indian Renewable EnergyDevelopment Agency Limited (Ireda) to provide official development assistance (ODA) of 30 billion Japanese Yen (Rs 1,750 crore) each to the two institutions to enhance energy availability in India.
ODA is a development assistance programme run by Japan to provide monetary help, infrastructure, emergency assistance, and public facilities to developing countries.
The agreement was signed by Shinya Ejima, chief representative, JICA India with N K Maini, deputy managing director (in-charge), Sidbi and with K S Popli, chairman and managing director, Ireda. The assistance will further financial savings through efficient energy use and expand use of renewable energy to reduce dependence on fossil fuels. The energy supply and demand gap in India has caused frequent power outages and is considered one of the impediments to India’s economic growth.