PFC grants Rs 19,985 cr loan for projects in H1

Ahmedabad, Jan 19 | Updated: Jan 20 2007, 06:49am hrs
With the Power Finance Corporation Ltd (PFC)s loan sanctions for various power projects reaching at Rs 19,985.80 crore during the first half of the fiscal 2006-07, the public sector financial institution expects its total sanctions to touch roughly around Rs 25,000 crore by this fiscal-end.

During the fiscal 2005-06 total sanctions by PFC stood at Rs 22,400 crore. In comparison to that during the first half of the current fiscal, the total sanctions are at Rs 19,985 crore and with few months to go for the fiscal 2006-07, the financial institution hopes to reach its sanctions at Rs 25,000 crore, the company officials said. Moreover, PFC is also in talks with LIC and 10 banks to raise funds for its India Power Fund. Speaking to FE, Satnam Singh, director, finance and financial operations, PFC, said that international agencies like IFC, ADB and other have evinced interest in India Power Fund.

Singh was here in connection with the companys intial public offer (IPO), which opens on January 31, 2007. The company is likely to launch this fund in the beginning of the next fiscal. The company initially plans to start the fund with a corpus of Rs 1,000 crore, of which Rs 200 crore will immediately be infused by it.

The fund will be registered as Venture Capital Fund. The company is also implementing transmission project at Jharkhand and West Bengal.