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IIFCL To Raise One Point $6 Bn For Infrastructure
ECONOMY & POLICY

IIFCL To Raise One Point $6 Bn For Infrastructure

India Infrastructure Finance Company Ltd plans to raise one point six billion US dollars from multilateral agencies and other overseas investors to support infrastructure development across the country. The managing director, Rohit Rishi, said the strategy is to build a diversified and cost-effective long-term funding base aligned with infrastructure financing needs and that the company has mobilised resources from leading multilaterals. The planned mobilisation aims to secure competitive long-tenor funds and channel greater institutional capital into Indian infrastructure.

He noted that until December IIFCL had raised JPY 26 billion from Sumitomo Mitsui Banking Corporation as external commercial borrowing, equating to about Rs15.2 bn. He added that the reasonably low cost of those funds reflects lender confidence in India's growth story.

The company is exploring a US$600 mn blended finance facility and a debut green bond issuance and is seeking approval to raise around US$1 bn as long-term commercial debt without sovereign guarantee in collaboration with the Multilateral Investment Guarantee Agency. The collaboration with MIGA is expected to reduce the financial burden on the public exchequer by providing guarantees against non-commercial risks.

IIFCL has received necessary approvals to proceed with a proposed initial public offering after the Cabinet Committee on Economic Affairs cleared listing on stock exchanges and the Department of Investment and Public Asset Management conveyed approval to the company. The company is preparing requisite details for the government to finalise modalities expected to materialise in the next financial year.

IIFCL remains wholly owned by the central government and was established in 2006 to provide long-term financial assistance to viable infrastructure projects. The authorised and paid-up capital stood at Rs100 bn and Rs99.9992 bn as of 31 March 2025. For the fiscal year ended March 2025 net profit rose 39 per cent to Rs21.65 bn and profit before tax reached Rs27.76 bn; annual sanctions and disbursements stood at Rs511.24 bn and Rs285.01 bn, and by 31 January 2026 sanctions had reached Rs532.17 bn with disbursements at Rs254.7 bn.

India Infrastructure Finance Company Ltd plans to raise one point six billion US dollars from multilateral agencies and other overseas investors to support infrastructure development across the country. The managing director, Rohit Rishi, said the strategy is to build a diversified and cost-effective long-term funding base aligned with infrastructure financing needs and that the company has mobilised resources from leading multilaterals. The planned mobilisation aims to secure competitive long-tenor funds and channel greater institutional capital into Indian infrastructure. He noted that until December IIFCL had raised JPY 26 billion from Sumitomo Mitsui Banking Corporation as external commercial borrowing, equating to about Rs15.2 bn. He added that the reasonably low cost of those funds reflects lender confidence in India's growth story. The company is exploring a US$600 mn blended finance facility and a debut green bond issuance and is seeking approval to raise around US$1 bn as long-term commercial debt without sovereign guarantee in collaboration with the Multilateral Investment Guarantee Agency. The collaboration with MIGA is expected to reduce the financial burden on the public exchequer by providing guarantees against non-commercial risks. IIFCL has received necessary approvals to proceed with a proposed initial public offering after the Cabinet Committee on Economic Affairs cleared listing on stock exchanges and the Department of Investment and Public Asset Management conveyed approval to the company. The company is preparing requisite details for the government to finalise modalities expected to materialise in the next financial year. IIFCL remains wholly owned by the central government and was established in 2006 to provide long-term financial assistance to viable infrastructure projects. The authorised and paid-up capital stood at Rs100 bn and Rs99.9992 bn as of 31 March 2025. For the fiscal year ended March 2025 net profit rose 39 per cent to Rs21.65 bn and profit before tax reached Rs27.76 bn; annual sanctions and disbursements stood at Rs511.24 bn and Rs285.01 bn, and by 31 January 2026 sanctions had reached Rs532.17 bn with disbursements at Rs254.7 bn.

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