The Indian Renewable Energy Development Agency Limited (IREDA) has secured an External Commercial Borrowing (ECB) of JPY 26 billion (approximately ₹1,476 crore) through a facility agreement with the State Bank of India’s Tokyo branch. The deal, finalized on Friday, also includes a Green Shoe Option of JPY 10 billion, providing additional financial flexibility and access to global funds.
This five-year unsecured loan features a bullet repayment structure at maturity, with a post-hedging landed cost expected to remain under 7%, making it a more economical alternative to similar domestic borrowings.
IREDA Chairman & Managing Director Pradip Kumar Das emphasized that the agreement strengthens the agency’s financial foundation, diversifies its funding portfolio, and supports its renewable energy lending operations. He noted that the transaction reflects investor confidence in IREDA’s financial stability and long-term growth prospects.
Holding an international credit rating of ‘BBB-’ for the long term and ‘A-3’ for the short term with a ‘Stable’ outlook from S&P Global, IREDA maintains a strong presence in global financial markets. This initiative aligns with its strategy to broaden funding channels and play a crucial role in advancing India’s renewable energy goals.
