India and Japan Sign MOU for a bullet train project between Ahmedabad and Mumbai on a 505- kilometre track Saturday Dec 12,2015

India and Japan on Saturday Dec 12,2015 signed a Memorandum of Understanding for a bullet train project between Ahmedabad and Mumbai on a 505- kilometre track.

As per the understanding, Japan will give a soft loan of Rs 79,000 crore (80 per cent of the cost) with a moratorium period of 15 years and an interest rate of 0.1 percent.

The loan is for a period of 50 years.

The total cost of the project has been estimated at Rs 97,636 crore.

The project is to be implemented over a period of seven years.

The bullet train, which will run at 300-350 kilometres per hour, will reduce the travel time between the two cities to two hours.

 

The train will operate on an elevated corridor along the existing railway tracks for most part of the journey.

Note