IREDA secures JPY 28 billion ECB facility from SMBC

New Delhi: Indian Renewable Energy Development Agency Limited (IREDA) has secured an External Commercial Borrowing (ECB) facility of JPY 28 billion from Sumitomo Mitsui Banking Corporation, marking a significant step in strengthening its global funding base.

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The facility includes a greenshoe option of JPY 12 billion and will be utilised to support the company’s sustainable financing initiatives. Structured as a five-year unsecured loan with a bullet repayment at maturity, the arrangement is expected to enhance IREDA’s financial flexibility and reinforce its presence in international financial markets.

The ECB facility is also seen as a cost-efficient and resilient source of funding, particularly amid evolving global geopolitical dynamics.

Commenting on the development, IREDA's Chairman and Managing Director (CMD) Pradip Kumar Das said the agreement represents a key milestone in expanding the organisation’s global footprint. He noted that the transaction would bolster IREDA’s ability to scale up lending operations in line with India’s renewable energy and sustainable development goals.

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Das further stated that the agreement underscores the confidence of leading global financial institutions in IREDA’s financial strength, governance standards and long-term growth prospects.

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