PM Singh announces $2bn projects

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India PM Manmohan Singh has announced development projects worth over $2bn for the remote north-eastern state of Arunachal Pradesh during a rare visit.

It is the first prime ministerial visit to the mountainous state in more than 10 years.

It is a particularly sensitive trip because neighbouring China, which borders the state, refuses to recognise India's sovereignty there.

Mr Singh was in Beijing recently as a guest of the Chinese leaders.

Ties between the countries have warmed.

Mr Singh announced a slew of projects for Arunachal Pradesh including a four-lane highway, India's biggest hydroelectricity project, railroad links and water supply projects, among other things.

He also said a new airport would be built in the state capital, Itanagar.

"Arunachal Pradesh is the easternmost state of the country and the sun kisses the country here first. That is why for the country it is the land of the rising sun," Mr Singh said.

Correspondents say the timing of Mr Singh's visit to the remote Indian state probably isn't a coincidence.

Concern

Indian officials have been concerned by recent Chinese statements about the border dispute, which has festered for more than four decades since the two countries fought a brief war in 1962.

Now Mr Singh is signalling the Indian intention to speed up the development of Arunachal Pradesh.

Economic relations between India and China are booming, but other issues are holding back the strengthening of relations between the two rising powers of Asia.

Negotiations have been proceeding quietly for some years now on how to resolve disagreements all along their shared border.

But there are not that many signs of real progress.