Das assures loan facilities for small enterprises
The Indian Renewable Energy Development Agency Limited (IREDA) is committed to increasing participation of Micro, Small & Medium Enterprises (MSMEs) in Renewable Sector by offering loan facilities.
This assurance was given by IREDA Chairman and Managing Director Pradip Kumar Das in his address to the “MSME Banking Conclave 2022” on 8 July 2022.
While MSMEs only represent 1.86% of the company’s total loan assets of Rs.33,884 crores (ending May 2022), IREDA is attempting to address the issues of MSMEs in order to increase their participation in RE sector, he said.
Das underlined the importance of MSMEs, saying these enterprises participation will be crucial in achieving 500 GW of Renewable Energy capacity by 2030.
He is confident that India will easily achieve the target of 50% share of energy from non-fossil fuels and also the 500 GW Renewable Energy capacity before the deadline of 2030.
A major barrier for MSMEs entrepreneurs is the inability to getting loans with reasonable interest rates, he noted.
IREDA, he informed, has significantly improved the “ease of doing business” in terms of faceless loan sanctions and disbursements, reduction in loan sanction, documentation and disbursement cycle and increased geographical footprint in the country, said the IREDA CMD.
Das highlighted that despite second and third waves of COVID pandemic, IREDA has reported historic all-time high annual Profit After Tax (PAT) of Rs.634 crores and Profit Before Tax (PBT) of Rs.834 crores in the FY 2021-22, registering a massive growth of 82.88% and 46.41%, respectively, over FY 2020-21.
He reaffirmed that the company is committed to addressing the adverse effects of climate change and reducing pollution levels by reducing CO2 emissions through financing support for the RE projects.
The conclave was organized by MSME Business Forum India. fiinews.com
