Kandla port trust plans to raise USD 150 mn via ECBs

The Kandla Port Trust, one of the 12 major ports of India, is planning to raise USD 150 million through external commercial borrowing soon.
"The Kandla Port Trust is planning to raise external commercial borrowing to the tune of USD 150 million soon," a senior shipping ministry official said.
India's major ports and state-run shipping entities may take Rs 50,000 crore loan in US dollar at a low interest rate to boost infrastructure, Shipping, Road Transport and Highways Minister Nitin Gadkari has said recently.
The official said that out of 12 major ports, nearly half a dozen, including Ennore, are planning to raise dollar denominated loans.

Last year, JNPT signed a pact with SBI and Singapore's DBS for USD 400 million loan, which prompted other players, besides Shipping Corporation, Dredging Corporation and Cochin Shipyard, to take the same route.
"ECB in ports will increase capital in the infrastructure sector. JNPT has paved the way for our ports and shipping entities to take loans in dollar term at a very low interest rate which in turn would enhance the viability of projects," the minister has said.
JNPT has entered into an agreement with the State Bank of India (SBI) and Development Bank of Singapore (DBS) for a loan of USD 400 million at a competitive interest rate.