The tentative deal, agreed to Monday during a conference of chief executives from the two nations, would aid India in its drive to spend $1 trillion to rehabilitate its creaking road and rail networks.
The deal comes as President Barack Obama winds up an eventful visit to India to cement trade ties with India and build political diplomacy with a nation it sees as a counterweight to China's escalating power in the region.
Obama's trip through Mumbai and Delhi was met with wall-to-wall television and print news coverage, with everyone from politicians to Bollywood stars commenting on the importance of his visit.
Obama's speech before a rapturous Indian Parliament Monday, in which he supported India's case for a seat on the U.N. Security Council and denounced the terrorist-supporting factions of Pakistan's government, won even more local admiration. Set amidst a backdrop of favorable trade talks over the weekend, the stage appears set for U.S.-India trade relations to grow.
