HUDCO in Talks with Global Institutions to Raise $1 Billion by March: CMD.

State-owned housing and infrastructure financing company Housing and Urban Development Corporation Ltd (HUDCO) is in discussions with multilateral development banks and other global institutions to mobilize $1 billion to support infrastructure projects in India, its Chairman and Managing Director, Sanjay Kulshreshta, said.

“We are in advanced discussions with KfW, Germany’s state-owned development bank, to raise $200 million,” Kulshreshta told PTI.

He added that HUDCO is also negotiating with multilateral development banks such as the Asian Development Bank for a $500 million loan, and $200–300 million from the Asian Infrastructure Investment Bank during the current financial year. “We are hoping to finalize these fundraises of about $1 billion for on-lending to infrastructure projects,” he said.

Kulshreshta noted that foreign funding would not only diversify HUDCO’s resource base but also help reduce the overall cost of funds.

In addition, he highlighted the company’s efforts to achieve better cost efficiencies through domestic avenues. HUDCO has been authorized by the government to issue 54 EC Capital Gain Bonds and has mobilized ₹50 crore so far this year.