The board of Indian Renewable Energy Development Agency (IREDA) has sanctioned a borrowing plan amounting to Rs 242 billion for the fiscal year 2024-25. The borrowing endeavor incorporates diverse methods of acquiring funds, highlighting IREDA’s strategic approach to financing renewable energy projects in India.
Term loans from domestic banks and financial institutions, lines of credit from international agencies, public and private placement of tax-free bonds, green masala bonds, green foreign currency bonds, subordinated tier-Il bonds, perpetual debt instruments, and foreign currency bonds are just a few of the various instruments included in the borrowing plan. Additionally, it will comprise foreign currency non-resident bank loans, cash credit facilities, commercial papers, short-term loans, capital gains bonds, and working capital demand loans from banks. Additionally, it will include external commercial borrowings from both domestic and international financial markets. IREDA seeks to provide financial sustainability and flexibility while facilitating the development and deployment of clean energy initiatives through the utilisation of a variety of funding sources.
In February 2024, IREDA signed a MoU with Punjab National Bank to promote renewable energy initiatives throughout the country.
