IFC proposed to raise Rs 150 billion for next 5 years to fund Indian infra projects

Bangalore : The International Finance Corporation (IFC) a largest global development institution, the World Bank’s private sector arm launched $2.5 billion worth rupees denominated bonds to fund infrastructure investments in the country on Wednesday.

As per the program, IFC will utilize a combination of rupee-denominated bonds and swaps to lift local currency financing of up to $ 2.5 billion, or Rs 150 billion, over the next five years. Proceeds from the program will be used for infrastructure investments in the country, the statement said by IFC.

IFC executive vice president and Chief Executive Officer Jin-Yong Cai stated “It would offer a safe investment opportunity for domestic funds and other investors”.

Finance Secretary Arvind Mayaram commented “Issuance of onshore bonds by IFC in the Indian bond market, with the offer of longer tenor bonds, will expand the bond market and also provide much needed finance for infrastructure projects”.

Last year, IFC issued a $ 1 billion offshore global bond program linked to the rupee exchange rate and invested.