Now Reading: NaBFID plans $3-4 billion overseas borrowing for infrastructure
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NaBFID plans $3-4 billion overseas borrowing for infrastructure
NaBFID plans $3-4 billion overseas borrowing for infrastructure
The National Bank for Financing Infrastructure and Development (NaBFID) plans to raise $3-4 billion through external commercial borrowings, including loans and bonds, managing director Rajkiran Rai G said. The lender has already…
The Story in Brief
The National Bank for Financing Infrastructure and Development (NaBFID) plans to raise $3-4 billion through external commercial borrowings, including loans and bonds, managing director Rajkiran Rai G said. The lender has already raised $850 million. It is planning a bond issue of $500 million to $1 billion with a 10-year maturity, possibly by end-September.
NaBFID is also working on a $1 billion multilateral-guaranteed loan expected in October. The borrowing follows the Reserve Bank of India offering a concessional hedging window for ECBs. NaBFID targets a loan book exceeding Rs 2 lakh crore by March.
The Indian Opinion
The story casts NaBFID's ambitious borrowing as a sign of infrastructure momentum, but critics may call it a subsidy-fueled debt binge from RBI's concessional window. The truth lies in execution: NaBFID must show it can deploy these funds into viable projects, not just build a war chest. The real test is whether its loan book hits the Rs 2 lakh crore target by March without piling up bad loans.
Sources (2): bfsi.economictimes.indiatimes.com, livemint.com
This story was synthesised by AI from the 2 sources linked above.
Updated: this story now draws on 2 sources.
