REC Limited, a Maharatna Central Public Sector Enterprise under the Ministry of Power, has successfully obtained a Green Loan of Japanese Yen (JPY) 60.536 billion to finance green projects in India. This landmark green loan, benefiting from an 80% guarantee by Italian Export Credit Agency, SACE (Italy), marks a significant collaboration between an Indian government entity and SACE, setting a new benchmark in the Indian public sector landscape for sustainable financing.
The green loan facility signifies REC Limited’s commitment to fostering sustainable growth in India. It highlights the company’s dedication to financing projects that meet rigorous environmental standards, promote renewable energy, and contribute to reducing carbon emissions across the country. This initiative also reflects the growing momentum towards green financing and the collective efforts of stakeholders to address environmental challenges.
The Green Loan has garnered loan participation from banks across Asia, USA, and Europe, including Crédit Agricole Corporate and Investment Bank, Bank of America, Citibank, KfW IPEX-Bank, and Sumitomo Mitsui Banking Corporation, acting as Mandated Lead Arrangers. Crédit Agricole Corporate and Investment Bank will serve as the Export Credit Agency Coordinator, Green Loan Coordinator, Documentation Bank, and Facility Agent.
REC Limited’s Chairperson & Managing Director, Shri Vivek Kumar Dewangan, expressed optimism about the collaboration, anticipating that it will pave the way for more such partnerships, further enhancing Indo-Italian business relationships in green energy financing and sustainable projects.
Head of SACE – India & South Asia, Gautam Bhansali, emphasized SACE’s commitment to supporting projects in renewable energy, green mobility, and energy efficiency through this innovative ‘Green Push Strategy’ transaction.
Senior Country Officer for India at Crédit Agricole Corporate and Investment Bank, Mr. Franck Passillier, highlighted the bank’s dedication to fostering sustainable development. He underscored the bank’s commitment to advancing environmentally responsible initiatives and promoting sustainable financing within India’s promising market.
