Author: PPD Team Date: 01/04/2025
Indian Renewable Energy Development Agency Limited (IREDA) has secured a loan facility worth approximately $172 million from the State Bank of India (SBI) Tokyo. The loan includes a greenshoe option of around $66.2 million through external commercial borrowings.
Structured as a five-year unsecured facility with a bullet repayment at maturity, the loan is expected to have a landed cost below 7 percent after hedging. IREDA plans to use the funds to diversify its resource base and optimize borrowing costs, strengthening its financial position.
Alongside this, IREDA has announced its provisional financial results for FY 2024-25, showing substantial growth. Loan sanctions rose by 27 percent, from Rs 373.54 billion in FY 2023-24 to Rs 474.53 billion in FY 2024-25. Loan disbursements increased by 20 percent, reaching Rs 301.68 billion, compared to Rs 250.89 billion in the previous year.
The company’s outstanding loan book also expanded by 28 percent, growing to Rs 762.5 billion in FY 2024-25 from Rs 596.98 billion in FY 2023-24. The rise in loan sanctions and disbursements reflects IREDA’s growing role in financing renewable energy projects across India.