Home / Companies / News /  ADB to provide $131 mn for Maharashtra’s JLN Port upgradation, boost trade

NEW DELHI : The Asian Development Bank (ADB) and Nhava Sheva Freeport Terminal Private Limited (NSFTPL) have signed a USD 131 million (about 1,066 crore) loan agreement to upgrade the Jawaharlal Nehru Port Container Terminal, Navi Mumbai, to enhance international trade in India through efficient, transparent, and state-of-the-art logistics infrastructure. 

NSFTPL is a special purpose vehicle jointly owned by J M Baxi Ports and Logistics Limited (JMBPL) and CMA Terminals.

The financing package comprises $61.4 million from ADB’s ordinary capital resources and $69.6 million from Leading Asia’s Private Infrastructure Fund (LEAP) administered by ADB, the Manila-based multilateral lending agency said in a statement.

The funds will be used to upgrade existing berths and yards and install additional energy efficient equipment such as electric quay cranes.

These upgrades will expand the terminal’s container handling capacity and attract vessels operating on important international shipping lanes.

“Global trade and supply chains are vulnerable to shocks, and enhancing countries’ capacity for trade is critical to the region’s recovery from COVID-19 and its ongoing prosperity," said ADB Vice-President for Private Sector Operations and Public–Private Partnerships Ashok Lavasa. “Long-term financial support from ADB can boost economic competitiveness in India by developing world-class mega ports and boosting the efficiency of containerized cargo terminal operations." 

“We are absolutely delighted to sign the Financing Agreement with ADB, which is the largest loan agreement signed by us so far, and we appreciate ADB’s commitment and agility in bringing this deal to a smooth closure in record time," said NSFTPL Board member and JMBPL Managing Director Dhruv Kotak. 

“Nhava Sheva Freeport Terminal is a key terminal for the country and this deal underscores India’s potential in becoming a $10 trillion economy by 2035. We are proud to have ADB support us in our endeavor to make international trade seamless, and this partnership is a testimony of our shared value system of the highest level of governance, transparency, and compliance" he added.

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