Union cabinet approves $150 million of credit for development of Chabahar port

The Union cabinet has approved a proposal by the Ministry of Shipping (MoS) for the provision and operationalisation of a $150 million line of credit from the Export Import Bank of India for the development of Chabahar port in Iran. A memorandum of understanding (MoU) was signed between India and Iran on May 6, 2015, according to which India will equip and operate two berths at Chabahar port in Phase I, with a capital investment of $85.21 million and an annual revenue expenditure of $22.95 million, on a 10-year lease. The two berths will be operated by India Ports Global Private Limited, a company promoted by the Jawaharlal Nehru Port Trust and the Kandla Port Trust (KPT).