Strengthening India's Digital Infrastructure: The Role of JBIC, DFC, and KEXIM in Advancing ICT Goals

Japan Bank for International Cooperation (JBIC), the U.S. International Development Finance Corporation (DFC), and the Export-Import Bank of Korea (KEXIM) to launch the Digital Infrastructure Growth Initiative for India (DiGi)

Digital infrastructure is increasingly recognized as a pivotal driver of economic growth, with global internet traffic expected to surge to 30 times its 2021 levels by 2030. In India, the Information and Communication Technology (ICT) sector already contributes more than 13% to the nation's GDP, and the government has committed to strengthening this sector further with a goal of reaching a USD 1 trillion ICT economy by 2025. To support this ambition, the Indian government has undertaken significant efforts to enhance its digital infrastructure nationwide.

A key development in this effort is the recent collaboration between the Japan Bank for International Cooperation (JBIC), the U.S. International Development Finance Corporation (DFC), and the Export-Import Bank of Korea (KEXIM). On October 25, JBIC signed an arrangement for cooperation with the other two institutions to launch the Digital Infrastructure Growth Initiative for India (DiGi). This partnership is grounded in a Memorandum of Understanding (MOU), which aims to promote trilateral cooperation in areas such as quality infrastructure development, energy transitions toward decarbonization, and strengthening the resilience of global supply chains particularly in the Indo-Pacific region.

A high-level meeting between the three institutions, held in March 2024 under the MOU, reaffirmed their shared commitment to furthering digital infrastructure development in India. The DiGi initiative will build on existing collaborative efforts, leveraging a range of financial and non-financial tools to support projects that will drive the growth of India's digital ecosystem.

Through this partnership, JBIC will play a pivotal role in supporting the development of cutting-edge digital infrastructure in India, including next-generation 5G networks, Open RAN technologies, data centers, and smart cities - projects that are of strategic importance to Japan's broader geopolitical and economic interests.

As Japan’s policy-based financial institution, JBIC is dedicated to fostering closer economic ties with partner countries and addressing global challenges such as digital transformation. The collaboration with DFC and KEXIM marks a significant step toward advancing these shared goals in the rapidly evolving digital landscape.

In this context, JBIC’s ongoing efforts to promote digital infrastructure development in India highlight the broader trend of global financial institutions working together to drive economic growth, innovation, and sustainability through technology. 

In addition, this year marks the 10th anniversary of the Japan-India Special Strategic and Global Partnership.

About

DFC is a U.S. government development finance institution that was established to mobilize and facilitate the investment of private capital in the economic and social development of developing countries by offering financing, political risk insurance, and other financial tools for developmental projects.

KEXIM is a policy-based financial institution wholly owned by the government of Korea that extends financial support, such as export loans and guarantees to promote Korean companies’ international trade, overseas investment, etc.