REC and PNB Forge Rs. 55,000 Crore Infrastructure Financing Alliance
New Delhi: REC Limited, a powerhouse in the energy and infrastructure sector, and Punjab National Bank (PNB), a stalwart in the banking arena, have joined hands in a groundbreaking Memorandum of Understanding (MoU) to collectively finance key infrastructure projects. The MoU entails a collaboration to co-finance substantial loans amounting to a staggering Rs. 55,000 crores over the next three years.
This collaboration will focus on funding projects within the Power Sector and Infrastructure & Logistics Sector through a consortium approach. The strategic partnership aims to fortify the infrastructure landscape, fueling growth and development in these critical sectors.
The MoU was officially inked today in Gurugram, as REC's Executive Director (Infra & Logistics), Shri T.S.C Bosh, and PNB's CGM (Corporate Credit Division), Shri Rajeeva, put pen to paper. Present at the ceremony were Director Finance, REC, Shri Ajoy Choudhary; Director (Projects), REC, Shri V K Singh, along with other eminent officials from REC and PNB.
REC Limited, established in 1969 and categorized as a Maharatna Central Public Sector Enterprise under the Ministry of Power, stands as a formidable entity, extending long-term loans and diverse financial products to the Power sector, encompassing Generation, Transmission, Distribution, Renewable Energy, and innovative technologies such as Electric Vehicles, Battery Storage, and Green Hydrogen. REC has also diversified into the Non-Power Infrastructure sector, broadening its horizons to Roads & Expressways, Metro Rail, Airports, IT Communication, Social & Commercial Infrastructure (Educational Institutions, Hospitals), Ports, and Electro-Mechanical (E&M) works across various other sectors like Steel and Refinery. REC's loan book now surges beyond Rs. 4,54,393 Crore, a testament to its remarkable contributions.
On the other front, Punjab National Bank (PNB), a venerable Public Sector Bank established in 1894, has been deeply entrenched in the nation's banking landscape and has extended its influence globally, particularly in infrastructure funding. With a vast Global Gross Business towering at ₹ 22,14,741 crores, PNB stands as one of the country's largest Public Sector Banks, now venturing into this strategic alliance to further bolster infrastructure development.
The formidable partnership between REC and PNB is set to usher in a new era of collaboration, propelling the nation's progress by addressing critical infrastructure needs and fostering sustainable growth across key sectors.
