NTPC Group ties up JPY 30 billion funding from JBIC

NTPC Group ties up JPY 30 billion funding from JBIC
NTPC Group ties up JPY 30 billion funding from JBIC

Mumbai, 26th March 2024: NTPC group has entered into foreign currency loan agreements with the Japan Bank for International Co-operation (JBIC), the Japanese Government policy-based financial institution, aggregating JPY 30 billion (Aprox.. USD 200 million/Rs. 1650 crore) i.e. JPY 15 billion each for NTPC Limited and NTPC Renewables Energy Limited (NREL). JBIC has provided 60% of the facility amount and the balance of the facility amount has been provided by other commercial banks under JBIC guarantee. The facility has been extended under JBIC’s initiative entitled ‘Global action for Reconciling Economic growth and Environment preservation’ (“GREEN”) for projects which ensure conservation of global environment.

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The loan proceeds shall be utilized by NTPC for funding part of its capex requirements for Flue Gas Desulphurization (FGD) which substantially reduces the SOx emission in the flue gases of thermal power stations and is a positive step towards environmental sustainability. This is the second loan for NTPC under JBIC’s GREEN operations in India. The loan proceeds shall be utilized by NREL for funding its capex for Renewable Energy Projects which would facilitate its mission for providing reliable, affordable and sustainable energy.

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The loan agreements for NTPC and NREL were signed by Shri Jaikumar Srinivasan, Director (Finance), NTPC and Shri. Neeraj Sharma, CFO, NREL, respectively with Mr. Ryuta Suzuki, Director General, New Energy and Power Finance Department II, JBIC, on 26 March, 2024 at a ceremony held at NTPC Corporate office in New Delhi.

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