IREDA and Indian Overseas Bank Sign Agreement to Co-Finance Renewable Energy Projects

To boost Renewable energy projects in India, the Indian Renewable Energy Development Agency (IREDA) has partnered with Indian Overseas Bank to co-finance various initiatives. The Memorandum of Understanding (MoU) was signed in the national capital in the presence of IREDA CMD Pradip Kumar Das and IOB MD and CEO Ajay Kumar Srivastava.

The agreement establishes a framework for co-lending and loan syndication for a diverse range of renewable energy projects across the country. This collaboration aims to leverage the strengths and resources of both entities to provide financial support to the renewable energy sector.

IREDA's CMD, Pradip Kumar Das, highlighted that the collaboration aims to make financing for renewable energy projects more efficient. They plan to simplify the processes for securing loans manage accounts effectively, and aim for stable interest rates over 3-4 years for IREDA's borrowers. The focus is on giving strong financial support to a variety of renewable energy projects in line with India's aim to reach 500 GW of non-fossil electricity generation capacity by 2030.

IREDA Collaborations

IREDA has teamed up with Indian Overseas Bank adding to its partnerships with major financial institutions like Bank of Baroda, Bank of India, Union Bank of India, India Infrastructure Finance Company Limited and Bank of Maharashtra. Highlights IREDA's dedication to promoting growth in the renewable energy sector.

IREDA a Mini Ratna (Category - I) under the Ministry of New and Renewable Energy serves as a non-banking financial institution dedicated to promoting, developing and extending financial assistance for projects associated to renewable sources of energy.

Stock Performance

On Tuesday IREDA's stock hit an all time high at ₹127.50. But it's been a bit of a rollercoaster reaching a low of ₹49.99 on 29 November 2023. Looking at the recent trends the stock climbed by 7.81% in the past month and a whopping 99.00% over the last 6 months.

IREDA the government owned Indian Renewable Energy Development Agency made its debut in the stock market last November its shares listed at a 56% premium. Now the company has informed that its board will meet this week on 20 January 2024 to announce and approve the financial results for the October-December 2023 quarter.

Final Words

IREDA's partnership with IOB is a step toward financing renewable energy in India. It plays a key role in supporting the country's sustainable development goals and promoting environmental awareness.