New Delhi: State-owned REC Ltd signed an agreement with Bank of India Ltd. to co-finance Rs 30,000 crore worth of projects in the power, infrastructure and logistics sectors over the next five years under a consortium arrangement.
The MoU was signed by REC Executive Director (Infra & Logistics) T.S.C. Bosh and BoI CGM Nitin G. Deshpande in the presence of REC CMD Vivek Kumar Dewangan, BoI MD & CEO Rajneesh Karnatak, REC Director (Finance) Ajoy Choudhury, and other senior officials from REC and BoI.
Under the agreement, REC and BoI will partner to co-finance loans amounting to Rs 30,000 crore for infra projects implementable over the next five years, REC said in a statement.
REC Limited, a Maharatna-designated Central Public Sector Enterprise (CPSE) founded in 1969 under the ministry of power, focuses primarily on financing power-infrastructure projects. As of the first quarter’s close of the current fiscal year, REC reported a loan book of Rs 4.54 lakh crore.
Bank of India, one of the nation’s top public sector banks established in 1906, has been actively involved in infrastructure financing, with a global gross business reaching over Rs. 12.14 lakh crore.
The partnership is expected to expedite infrastructure developments across various sectors, including energy, transportation, and logistics, setting a robust pace for future collaborative projects between the two entities.