New Delhi: In view of erosion of value of rupee against dollar, India will pitch for the currency swap agreement during the recent visit of Japanese Prime Minister Yoshihiko Noda to New Delhi. If the deal between the two countries is inked, Indian and Japanese companies could make smooth payment transactions.

In a meeting scheduled for Wednesday afternoon, PM Manmohan Singh and his Japanese counterpart will be discussing the nuclear deal along with currency swap agreement. Japan which has recently swapped the currencies with China is likely to go ahead with the currency swap with India too.

With the swapping of Japan’s yuan and Indian rupee, the deal could be significant at the time when Indian currency is undergoing a continual depreciation. The emphasis will be laid on strengthening the bilateral economic ties and agreement on other important deals in the maiden visit of the Japanese Prime minister to India.

The deal will give succour to ongoing economic slowdown in both the countries. Japan considers India a better option to invest than America and Europe which too are facing economic slowdown. India wants Japanese companies to invest in the field of technology and infrastructure.

Manmohan Singh would discuss the Delhi Mumbai Industrial Corridor (DMIC) project with his Japanese counterpart. The Japanese government had extended its help and support for the project earlier. Under the USD 90 billion ambitious project many industrial clusters are to be built between Delhi and Mumbai. The Japanese government might announce loan for this project on easy terms and conditions.