JKIDFC to raise loan of Rs 2000 crore for funding languishing projects

Faizan Wani
Srinagar: In a significant move, the Jammu & Kashmir Infrastructure Development Corporation (JKIDFC), a special purpose vehicle (SPV) set-up for completion of languishing/unfunded projects in J&K, has decided to raise a loan of Rs 2000 crore to be availed in the remaining months of the ongoing financial year and the first quarter of the next fiscal.
To begin with, the JKIDFC has invited has invited expression of interest (EoI) from financial institutions for providing a long-term loan of Rs 2000 crore for funding languishing projects in the Union Territory. “Sealed expression of interest (EOI) is being invited from reputed RBI regulated banking and financial institutions/companies of the country, to submit written proposals for advancing loans of Rs. 2,000 crore to be availed during remaining months of the current financial year 2021-22 and Ist quarter of next financial year (2022-23),” reads the EoI.
The EoI was issued by the Corporation on January 3, 2022.
It is worthwhile to mention that the JKIDFC was set-up in 2018 by the J&K administration for funding unfinished/languishing infrastructure projects in the State.
The State Administrative Council (SAC) authorized it to raise a loan not exceeding Rs 8000 crores from various financial institutions including state/ nationalized banks for completion of these unfunded/ languishing projects.
As per mechanism approved by the SAC, a high-powered committee (HPC) comprising administrative secretaries of Finance, Planning, PWD and PHE besides administrative secretary of the concerned department were empowered to approve funding of projects under the scheme.