PNB Housing raises Rs 500 crore from IFC to fund green projects
India’s fifth largest housing finance company PNB Housing Finance Limited issued secured fixed rate NCDs to International Finance Corporation (IFC) to raise Rs 500 crore for funding green residential projects.
Herewith, PNB Housing has become the first HFC to issue Green Bonds successfully.
According to the PNB, the funds will be used to finance green residential projects which are certified by recognised green building certification standards, including EDGE (certification programme developed by IFC).
Sanjaya Gupta, MD, PNB Housing Financial Ltd, said, “We are delighted to become the first housing finance company to successfully issue green bonds. This will further give a fillip to our intent to develop a committed green lending practice in the sector for a sustained growth of green loan portfolio.”
Jayesh Jain, Chief Financial Officer, PNB Housing Finance Limited, added, “As this fund will be exclusively used to support investments in green energy-efficient buildings, the same will help reduce greenhouse emissions and to curb pollution, thus, helping us to establish a market and an ecosystem for green housing construction in India.”
PNB Housing has pre-approved more than 62 green projects across Delhi-NCR, Mumbai, Pune and Bengaluru. The retail exposure towards green buildings is already around Rs 250 crore.