J&K to raise Rs 8,000 cr loans for funding infra projects

J&K to raise Rs 8,000 cr loans for funding infra projects

JKIDFC, a registered corporation under the Companies Act, is mandated to raise loans for funding infrastructure development projects in Jammu and Kashmir.

In a major step towards raising loans for funding infrastructure projects, Jammu & Kashmir Infrastructure Development Finance Corporation Limited (JKIDFC) has sought expression of interest (EoI) from banking and finanancial institutions for advancing loans worth Rs 8,000 crore.

"Sealed EoI is being invited from reputed RBI regulated banking and financial institutions in the country to submit written proposals for advancing loans uptoRs 8,000 crore," JKIDFC Director Finance ShowkatHussain Mir said Thursday.

JKIDFC, a registered corporation under the Companies Act, is mandated to raise loans for funding infrastructure development projects in Jammu and Kashmir.

The loans to be raised by the corporation shall be guaranteed by the state government, officials said.

The loans will be advanced within the next two-three years, Mir said, adding that Rs 500 crore is intended to be made available during the remaining months of the current financial year, while Rs 3,000 crore during 2019-20.

Mir said conditional bids will not be accepted and the selection criteria for the bid shall be the lowest rate of interest and other charges.

At a high powered committee meeting on January 2, JKIDFC had approved 1,643 projects amounting to Rs 13,631 crore under various sectors.