IIFCL Eyes $1 Billion Boost for Infrastructure with MIGA Collaboration

India Infrastructure Finance Company Ltd (IIFCL) plans to raise up to USD 1 billion through a MIGA guarantee to fund infrastructure projects without a sovereign guarantee. The state-owned entity is negotiating with international banks to secure this funding and has previously raised significant capital from foreign markets.

India Infrastructure Finance Company Ltd (IIFCL) is set to raise up to USD 1 billion through the Multilateral Investment Guarantee Agency (MIGA) guarantee fund this quarter. The initiative aims to boost infrastructure development across India without increasing the burden on the public exchequer.

IIFCL Managing Director, Rohit Rishi, revealed that negotiations are underway with several top global banks to secure a 15-year long-term commercial debt. This funding strategy marks a continuation of IIFCL's diversification efforts in recent years, having previously raised USD 500 million from Japan at a significantly low cost.

The company's robust financial performance is reflected in its 39% rise in net profit to Rs 2,165 crore for the fiscal year ending March 2025. With a capital adequacy ratio of 21% and net NPA at 0.03%, IIFCL is poised to support India's infrastructure projects as it continues its growth trajectory.

(With inputs from agencies.)