REC Limited has signed a Memorandum of Understanding (MoU) with Rail Vikas Nigam Limited (RVNL) to finance infrastructure projects worth up to ₹35,000 crore over the next five years.
The agreement focuses on multi-modal logistics hubs, rail infrastructure, road, port, and metro projects.
The MoU was signed by Ajoy Choudhury, Director (Finance), REC, and Rajesh Prasad, Director (Operations), RVNL. The signing ceremony was witnessed by V.K Dewangan, CMD, REC; Sanjeeb Kumar, Director (Finance), RVNL; Anupam Ban from the Department of Public Enterprises (DPE), RVNL, along with other top officials from both organizations.
REC Limited is a Maharatna CPSE that primarily provides long-term loans and financing for the power-infrastructure sector, including generation, transmission, distribution, renewable energy, and emerging technologies like electric vehicles, battery storage, and green hydrogen.
REC has recently expanded into non-power infrastructure sectors, including roads & expressways, metro rail, airports, IT communication, and social & commercial infrastructure such as educational institutions and hospitals. REC’s loan book currently exceeds ₹4,74,275 crore.
On the other hand, RVNL, a “Schedule ‘A’ Navratna” CPSE under the ministry of railways, contributes to approximately 30% of Indian Railways’ infrastructure needs. Besides focusing on railway projects, RVNL has ventured into road, port, irrigation, and metro projects, often integrating these with railway infrastructure.