Indian Railway Finance Corporation Limited (IRFC) has secured a significant loan agreement with a consortium of banks, including State Bank of India, HDFC Bank Ltd, Sumitomo Mitsui Banking Corporation, and DBS Bank Ltd, to raise JPY equivalent USD 1.1 billion through External Commercial Borrowing (ECB).
The loan agreement, signed on May 21, 2026, marks IRFC‘s first ECB in FY 2026-27, according to a BSE filing. This move is expected to support IRFC’s growth plans and strengthen its financial position.
The ECB loan will be used to raise funds for IRFC‘s business operations, as per the loan agreement. The company has not disclosed any further details about the loan’s terms and conditions.
As part of the agreement, IRFC has agreed to certain terms and conditions, including repayment schedules and interest rates. The loan is expected to be repaid over a period of time, with interest payments to be made regularly.
The order adds to IRFC‘s existing loan portfolio, reinforcing its position as a leading finance company in the Indian railway sector. This loan agreement is a significant development for IRFC, marking a new milestone in its growth journey.
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