Indian Renewable Energy Development Agency (IREDA) has entered into a preliminary agreement with Bank of Maharashtra to provide financing for renewable energy projects. This partnership aims to promote and facilitate co-lending and loan syndication for a wide range of renewable energy projects across India.
The Memorandum of Understanding (MoU) between IREDA and Bank of Maharashtra includes several services, such as co-lending and co-origination support for all renewable energy projects. It also involves facilitating loan syndication and underwriting, managing trust and retention accounts for IREDA borrowers, and committing to stable fixed interest rates for a period of 3-4 years for IREDA borrowings.
As part of the agreement, Bank of Maharashtra will have the opportunity to invest in the bonds issued by IREDA under the specified terms and conditions of the offering. The MoU was signed by Bharat Singh Rajput, General Manager (Technical Services) of IREDA, and Rajesh Singh, General Manager (Retail & MSME Credit) of Bank of Maharashtra, at IREDA’s Business Centre.
IREDA has been actively seeking partnerships with public sector banks and financial institutions to address the significant funding requirements of the renewable energy sector, including emerging technologies like green hydrogen and offshore wind. These collaborations aim to facilitate financing for large-scale renewable energy projects.
This collaboration between IREDA and Bank of Maharashtra is a significant step towards promoting renewable energy projects in India. By providing financial support and streamlined lending processes, it will contribute to the growth and development of the renewable energy sector in the country.
– Indian Renewable Energy Development Agency (IREDA)
– Bank of Maharashtra