MoUs signed for infra and TV plant

Maharashtra Chief Minister Devendra Fadnavis and South Korean Deputy Prime Minister-Finance Minister Kim Dong-yeon have agreed to cooperate in multi-billion dollar infrastructure developments.

The two leaders decided that South Korea will extend US$9 billion line of credit and US$1 billion for three major projects – Nagpur Mumbai Expressway, Kalayan Dombivali Smart City and Bandra Government Colony Redevelopment.

Fadnavis held a series of investor meetings in Seoul 27 September 2017.

The South Korean President, Moon Jae-in, is expected to visit India early next year by when work would likely start on the Nagpur-Mumbai expressway.

The two sides decided to take up for detailed discussion with the Indian side’s interest in tabling the Nagpur-Mumbai Super-Connectivity Expressway Corridor Project for project support from South Korea.

The leaders agreed to establish an empowered negotiating team comprising relevant officials from the Maharashtra Government, the Union Government of India as well as Korean counterparts including officials from the Ministry of Strategy and Finance.

They noted that the composition of this team and dates for their first meeting would be finalized through diplomatic channels, said a Seoul-dated statement received from the Chief Minister’s office.

The negotiating team would, inter-alia, examine:

(a) Technical aspects of all segments of the Nagpur-Mumbai Super Connectivity Expressway Corridor Project;

(b) Modalities to establish a special purpose vehicle (SPV) that could bring together Indian and Korean State-owned entities to mobilize financing and implementation of the project;

(c) Ways and modalities to finance this project using such an SPV, and for suitably utilizing both the EDCF and EXIM Bank credit offered by the Korea, within the parameters of existing national rules and conditions on both sides.

The two sides further agreed that the negotiation team would meet at the earliest possible date, to facilitate an understanding on the above elements.

They noted that the objective of this exercise was to try to set in place at least one major project for India-Korea partnership prior to any planned bilateral Summit-level interaction.

Fadnavis’ delegation also signed a Memorandum of Understanding between his state government and the Korean Ministry of Land, Infrastructure and Transport on strategic partnership for infrastructure development projects in the state.

The delegation also signed a MoU with Twin Star-LG to set up a plant for making liquid crystal display television screen fabrication at Nagpur.

The Rs.30,000 crore plant, awaiting Government of India approval, is expected to start manufacturing next year. fii-news.com