India’s RE, Infrastructure finance agencies to fund renewable projects

The funding will be through co-lending and loan syndication.

The Indian Renewable Energy Development Agency (IREDA) and the India Infrastructure Finance Company Ltd (IIFCL)entered into a memorandum of understanding for co-lending/co-origination and loan syndication for renewable energy projects.

In a statement, the Ministry of New and Renewable Energy said the two parties also aim to fix the interest rates for IREA borrowing for three to four years, whilst IIFCL may invest in IREDA-issued bonds.

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"We are pleased to partner with IIFCL and offer our techno-financial expertise to IIFCL for the development of Renewable Energy sector. With this collaboration, we will be able to support Govt. of India’s target of achieving 50% share of our energy from non-fossil fuels by the year 2030,” said IREDA Chairman & Managing Director Shri Pradip Kumar Das.

“We remain confident that by working together, we will leverage our strengths and continue to serve our customers in line with Prime Minister Shri Narendra Modi's vision of Aatmanirbhar Bharat and a clean and green India,” he added.

The MOU was signed by Das and IIFCL Shri P R Jaishankar.