India extends grants, lines of credit to Sao Tome and Principe

New Delhi, Dec 2 : India has extended a line of credit of USD 5 million to the island nation of Sao Tome and Principe, as well as a grant of USD 1 million for setting up an institute for the small sector industry.

This was announced in the joint statement between the two countries to mark the visit of Sao Tomean Foreign Minister Carlos Alberto Pires Tiny. He had held extensive talks with Minister of State for External Affairs Shashi Tharoor during the four-day official visit, which ended Tuesday.

"India assured Sao Tome and Principe of its support in the form of official developmental assistance, technical cooperation and capacity building to facilitate the rapid economic and social development of its people," said the joint statement released Wednesday.

It added that India will give a grant of USD 1 million for setting up a Technology Incubation-cum-Production Centre for development of small and medium enterprises sector. Besides, India is also giving a grant of Rs.10 million for meeting immediate requirements in education and health sectors.

"In response to STP's request for benefiting from India's concessional lines of credit, the Indian side agreed to favourably consider a line of credit for USD 5 million for priority projects to be identified by the STP side in the fields of agriculture, capacity building and infrastructure," said the statement.

Besides, the visiting foreign minister also met officials in the ministry of petroleum and natural gas and ONGC Videsh to discuss possibilities of bilateral cooperation the hydrocarbons sector.

He also visited National Small Industries Corporation Limited and the Telecommunications Consultants India Limited, where he signed the memorandum of understanding to become the 47th African nation to join the Indian government's Pan-African e-Network Project.