Bank of Maharashtra joins hands with IREDA to drive India’s green energy ambitions

Bank of Maharashtra (BoM) has entered into a significant Memorandum of Understanding (MoU) with the Indian Renewable Energy Development Agency (IREDA). This collaboration aims to promote and facilitate co-lending and loan syndication for a wide range of Renewable Energy projects throughout the country.

The MoU encompasses various services, including providing co-lending and co-origination support for all Renewable Energy projects, facilitating loan syndication and underwriting, managing Trust and Retention Accounts for IREDA borrowers, and committing to establishing stable fixed interest rates for a period of 3-4 years for IREDA borrowings. Under this agreement, the Bank of Maharashtra has the option to invest in the Bonds issued by IREDA in accordance with the specified terms and conditions of the offering.

IREDA, a Ministry of New and Renewable Energy (MNRE) controlled company is dedicated to financing renewable energy and energy efficiency projects. To meet the funding needs of sectors like green hydrogen and offshore wind, IREDA collaborates with banks and institutions for co-lending on large projects. This partnership with the Bank of Maharashtra advances India’s green energy goals, aiming to create a robust financial framework for widespread access to clean energy solutions. It underscores the importance of cooperation between financial institutions and government bodies as India strives for Net Zero emissions by 2070.

Today the scrip opened at Rs 46.66 and currently, it is trading at Rs 44.98, down by 2.79%. It has a 52-week high of Rs 51.48 and a 52-week low of Rs 16.95. The bank has a market capitalization of around Rs 31,850 crore. Over the past one-year shares of the bank have given multibagger returns of around 140.59%.

Bank of Maharashtra offers several products and services in personal banking such as deposits, savings, personal loans, educational loans, demat services, credit cards, etc. The Bank also offers services to agricultural and SME sectors.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. It is based on several secondary sources on the internet, and is subject to changes. Please consult an expert before making related decisions.