India Business Journal - NTPC gets $750-million foreign currency loan from BoB and HDFC Bank

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NTPC gets $750-million foreign currency loan from BoB and HDFC Bank

IBJ Bureau
Jun 14, 2025

NTPC has announced that it has signed a foreign currency loan agreement worth $750 million with the IFSC banking units of Bank of Baroda (BoB) and HDFC Bank, located in GIFT City, Gandhinagar. “This unsecured, syndicated external commercial borrowing (ECB) facility comprises a base amount of $500 million and a greenshoe option of $250 million.

BoB and HDFC Bank have acted as mandated lead arrangers, underwriting $500 million (base amount by BoB) and $250 million (greenshoe portion by HDFC Bank) respectively,” the company has said in a statement.

The facility carries a door-to-door tenor of 10 years, with an average maturity of seven years. Proceeds from the loan will be used by NTPC to fund capital expenditure for its ongoing and upcoming capacity expansion projects, including flue gas desulphurisation systems, renewable energy and hydro-based projects, as well as to refinance existing ECBs – all in accordance with the RBI’s ECB guidelines.

This transaction marks the largest foreign currency lending by BoB and the first-ever foreign currency loan extended by HDFC Bank to NTPC. NTPC is targeting a diversified energy portfolio exceeding 130 gw by 2032, with a strong focus on reducing its carbon footprint.