As part of efforts to provide proper funding to infrastructure projects, the government on Thursday decided to infuse Rs 6,000 crore equity in NIIF debt platform.
The NIIF Strategic Opportunities Fund has set up a Debt Platform comprising an NBFC Infra Debt Fund and an NBFC Infra Finance Company. The Platform has a Loan book - Rs 8000 crore and deal pipeline of Rs 10,000 crore.
With the fresh infusion of equity by the government and finance including NIIF's own equity infusion of Rs 2,000 crore and further equity from the private sector, the debt platform is expected to raise enough resources to extend debt support of Rs 1,10,000 crore to projects by 2025.
NIIF AIFL (AA rating) and IFL (AAA rating) will raise Rs 95,000 crore debt from market, including project bonds.
"By 2025, it will provide infra project financing of Rs 110,000 crore," a government statement said.
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
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