NTPC Ltd. has entered into foreign currency loan agreement with the Japan Bank for International Co-operation (JBIC), the Japanese government policy-based financial institution, for ¥50 billion (approximately US$482 million). JBIC provided 60% of the facility amount and the balance of the facility amount is provided by commercial banks (viz., Sumitomo Mitsui Banking Corp., the Bank of Yokohama Ltd, the San-In Godo Bank Ltd, the Joyo Bank Ltd and The Nanto Bank Ltd), under JBIC guarantee.
The facility is extended under JBIC’s initiative entitled ‘Global action for Reconciling Economic growth and Environment preservation’ (GREEN) for projects which ensure conservation of global environment. The loan proceeds shall be utilised by the company for funding its capex for flue gas desulfurisation (FGD) and renewable energy projects. FGD, substantially reduces the sulfur oxide emission in the flue gases of thermal power plants and is a positive step towards environmental sustainability. This is the first loan for NTPC under JBIC’s GREEN operations in India.
The loan agreement was signed by Shri Anil Kumar Gautam, Director (Finance), NTPC and TANIMOTO Masayuki, Managing Executive Officer, Global Head of Infrastructure and Environment Finance Group, JBIC on 28 October 2020 through video conferencing.
Read the article online at: https://www.worldcoal.com/coal/29102020/ntpc-acquires-50-billion-funding-from-jbic/