PFC to raise $300 mn from SBI London

State-owned Power Finance Corporation is believed to have tied up with State Bank of India's London branch for raising $300 million (about Rs 1,400 crore) to finance power projects in the country.

PFC has tied up $300 million from SBI London branch under the External Commercial Borrowing (ECB) route, a source close to the development said.

The amount would be utilised for funding power generation, transmission and distribution projects in the country.

Meanwhile, Power Finance Corp Chairman and Managing Director Satnam Singh is heading for London and Hong Kong along with his team to conduct roadshows.

For raising the money, PFC, which finances power projects in the domestic market, has received the Reserve bank's approval that expires on March 31.

The company has set a target of raising funds to the tune of Rs 21,000 crore during the current financial year. It has raised Rs 16,000 crore so far.

The firm has disbursed loans worth Rs 15,355 crore in the third quarter compared to Rs 14,101 crore in the same period last year.