New Delhi: As India battles the spread of Covid-19 with no immediate respite in sight as far as fresh cases are concerned, Japan has announced that it will extend emergency loan to India for fighting the global pandemic.
According to report, the emergency loan will come with an interest rate of 0.01% per annum with a redemption period of 15 years, plus four year grace period.
Additional Secretary, Department of Economic Affairs of Finance Ministry, CS Mohapatra and Japanese ambassador Suzuki Satoshi exchanged notes, concerning the provision of the yen loan to New Delhi to combat the COVID-19 pandemic.
According to an official release by Japanese embassy, this “COVID-19 crisis response emergency support loan” provides the necessary funds for India’s fight against coronavirus.
This financial support will support the implementation of health and medical policy by the Government of India, and will lead to the development of hospitals equipped with ICUs and infection prevention and management facilities.
It is expected that these measures, in addition to controlling the spread of infection in the country, will also contribute to the recovery and stability of the country’s society and economy, as well as to sustainable development.
Moreover, both the countries also exchanged notes on a grant worth 1 billion Yen to India through Japan’s Official Development Assistance (ODA) scheme, namely, “The Economic and Social Development Programme”.
It is expected that this grant aid will lead to reinforcing the fight against infectious diseases including COVID-19, in India, and contribute towards further strengthening cooperation between Japan and India.
