REC Limited, a Maharatna public sector enterprise under the Ministry of Power, has approved a ₹1.70 lakh crore market borrowing programme for the financial year 2025–26. The approval was granted during the company’s board meeting held on March 26, 2025.
The borrowing programme will include ₹1.55 lakh crore through various long-term instruments such as domestic bonds (including green and ESG bonds), capital gains tax exemption bonds, rupee term loans, and external commercial borrowings. Additionally, REC plans to raise ₹10,000 crore through short-term loans (more than six months) and ₹5,000 crore via commercial papers.
The company clarified that short-term loans with a tenure of less than six months, along with cash credit, overdraft, and other working capital facilities, will be capped separately at ₹20,000 crore and will not form part of the ₹1.70 lakh crore programme.
Funds will be raised through diverse instruments based on market conditions, liquidity needs, and asset-liability alignment, with approvals to be taken under powers delegated by the Board.
Separately, the board also approved the appointment of Smt. Parminder Chopra, CMD of Power Finance Corporation Limited, as an Additional Director on the board of REC. She will hold additional charge as CMD of REC Limited effective from March 21, 2025.
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