IREDA, Indian Overseas Bank forge partnership for RE funding

The state-owned Indian Renewable Energy Development Agency (IREDA) unveiled collaboration with Indian Overseas Bank (IOB) to jointly fund renewable energy projects in India. The formal agreement, inked in the national capital, was attended by IREDA CMD Pradip Kumar Das and IOB MD and CEO Ajay Kumar Srivastava, according to an official statement. The memorandum of understanding (MoU) signed between IREDA and Indian Overseas Bank marks the beginning of a partnership facilitating co-lending and loan syndication for a diverse range of renewable energy projects nationwide, the statement explained. IREDA's CMD emphasised, Through the consolidation of our strengths and resources, our goal is to provide robust financial support to renewable energy projects. This collaboration seeks to streamline loan syndication and underwriting processes, manage Trust and Retention Account (TRA) for IREDA borrowers, and establish fixed interest rates over a 3-4-year period for IREDA borrowings. Highlighting IREDA's track record of successful collaborations with leading financial institutions like Bank of Baroda, Bank of India, Union Bank of India, India Infrastructure Finance Company Limited, and Bank of Maharashtra, Das emphasised the expansion of partnerships in the renewable energy sector. IREDA, operating under the Ministry of New and Renewable Energy, serves as a non-banking financial institution dedicated to promoting, developing, and extending financial assistance for projects related to new and renewable sources of energy, as well as energy efficiency and conservation.