Power Finance Corporation Gets RBI Nod to Set up Firm in GIFT City

In a positive development for Power Finance Corporation (PFC), its shares climbed nearly a percent during early trade on 10 January later gave up the gain at the time of writing PFC share is down 2.09%. Reserve Bank of India granted a no objection letter on 9 January, allowing PFC to establish a finance company within the International Financial Services Centre (IFSC) located in Gujarat's GIFT City. This move is anticipated to unlock new business prospects and bolster PFC's global presence, according to an official exchange filing by the company.

PFC Raises Market Borrowing

Earlier this month, Power Finance Corporation increased its market borrowing to ₹1.05 lakh crore. This adjustment was made from the initially planned ₹80,000 crore for the current financial year. The expanded borrowing program encompasses various debt segments, including bonds, debentures, term loans, external commercial borrowings, and more, available through both public and private placement avenues.

The funds under the revised market borrowing program will be raised as needed throughout the financial year 2023-24. This will be done with the approval of the competent authority, as delegated by the Board of Directors," clarified the company in its communication to the exchanges.

PFC signed Pact with the government of Gujarat

In a separate development, PFC recently entered into an initial agreement with the Gujarat government. The pact focuses on providing comprehensive financial support for the state's generation, transmission, and distribution projects. This collaboration highlights PFC's commitment to contributing to the growth and development of key infrastructure projects in the region.

Power Finance Corporation's shares fell by 2.09% today. Over the last month, there was a slight dip of -0.68%. However, looking at a broader picture, the share price of PFC rose 115.42% in the past 6 months, a remarkable 211.73% over the past year, and an impressive 349.77% over the past 5 years. Indicates a positive trend in Power Finance Corporation's stock performance over varying periods.

Final Words

Power Finance Corporation's recent endeavors, from gaining approval for the IFSC finance company to expanding its market borrowing and fostering partnerships for state projects, reflect the company's strategic vision and commitment to both national and international financial landscapes.