IIFCL Aims to Raise $1.6 Billion for Infrastructure Financing Push

India Infrastructure Finance Company Ltd (IIFCL) is preparing to mobilise substantial overseas funding as part of its strategy to expand support for infrastructure development across the country.  

The state-owned lender is working on multiple financing avenues to build a stronger and diversified funding base. 

Global Funding Strategy 

As per PTI reports, IIFCL intends to raise $1.6 billion, equivalent to nearly ₹14,500 crore, from multilateral agencies and international investors.  

The company has already worked with several global institutions, including ADB, KfW, JICA, the European Investment Bank and the World Bank, to mobilise funds for infrastructure financing. 

Managing Director Rohit Rishi highlighted the approach, stating that the organisation is focusing on building “a diversified and cost-effective long-term funding base aligned with infrastructure financing needs.” 

The company has also secured JPY 26 billion (about ₹1,520 crore) through external commercial borrowing from SMBC of Japan, reflecting continued lender confidence in India’s infrastructure growth trajectory. 

New Financing Initiatives and Green Funding 

Looking ahead, IIFCL is exploring several new funding mechanisms. These include a $600 million blended finance facility and the company’s first green bond issuance.  

Additionally, it is working toward raising around $1 billion in long-term commercial debt without sovereign guarantee with support from the Multilateral Investment Guarantee Agency (MIGA) of the World Bank Group. 

According to Rishi, “We are exploring a $600 million blended finance facility and our debut Green Bond issuance.” These initiatives are intended to attract long-term institutional capital and expand funding options for infrastructure projects across India. 

IPO Plans and Financial Performance 

IIFCL is also preparing for a proposed IPO as part of the government’s plan to bring public sector entities to capital markets, with the listing expected in the next financial year.  

Established in 2006, the company provides long-term financial support to infrastructure projects and had authorised capital of ₹10,000 crore and paid-up capital of ₹9,999.92 crore as of March 31, 2025. 

In FY25, net profit rose 39% to ₹2,165 crore from ₹1,552 crore, while profit before tax increased 37% to ₹2,776 crore from ₹2,029 crore.  

The company sanctioned ₹51,124 crore and disbursed ₹28,501 crore during the year. By January 31, 2026, sanctions had reached ₹53,217 crore and disbursements ₹25,470 crore, indicating continued growth momentum. 

Read More: EPFO Joins NHAI’s Raajmarg Infra InvIT as Strategic Investor; Commits ₹1,000 Crore! 

Conclusion 

With plans to raise significant global funding and expand financing channels, IIFCL is positioning itself to play a larger role in supporting India’s infrastructure investment cycle in the coming years. 

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