"REC Signs Agreement to Finance ₹1.20 Lakh Crore for Power and Infrastructure Projects in Rajasthan Over Six Years"

Government-owned power sector financier REC Ltd announced on Monday that it has entered into an agreement with the Rajasthan government to provide up to Rs. 1.2 lakh crore over six years for power and infrastructure-related projects. The agreement, inked on March 10, falls under the purview of REC Ltd, operating under the power ministry.

Under the terms of the agreement, REC will extend financing of up to Rs. 20,000 crore annually for six years, spanning projects across both power and non-power infrastructure sectors.

Vivek Kumar Dewangan, CMD of REC Ltd, expressed pride in the collaboration with the Rajasthan government, aiming to enhance infrastructure development across the state. He emphasized the partnership's goal of supporting sustainable growth and meeting the evolving energy demands of the region, alongside the development of other infrastructure sectors.

As part of the agreement, REC will provide loans of up to Rs. 20,000 crore each year for the next six years to various departments, undertakings, institutions, and schemes of the Rajasthan government.

This collaboration underscores REC's commitment to fostering the development of power and non-power infrastructure in Rajasthan, thereby contributing to the state's economic advancement and prosperity.

In addition to the pact with REC, the Rajasthan government also signed multiple agreements worth Rs. 1.6 lakh crore with several central public sector enterprises under the power ministry and the coal ministry. These agreements signify a significant commitment towards bolstering infrastructure development and driving economic growth in the region.

As of December 2023, REC's loan book stands at Rs. 4.97 lakh crore, with a net worth of Rs. 64,787 crore.

ET