MUMBAI: The country’s container that is largest handling port Jawaharlal Nehru Port Trust has finalized an understanding to increase a dollar-denominated loan of $400 million, or around Rs 2,660 crore, at near to a tenth of prevailing domestic borrowing prices.
Here is the very first loan that is dollar-denominated JNPT that is also referred to as Nhava Sheva.
“The contract had been finalized night that is last. The mortgage is raised at 2.36% price in comparison to 12per cent that is the prevailing rate that is domestic” delivery minister Nitin Gadkari told ET during the ongoing Maritime moneylion investment Asia Summit here on Friday.
“This ended up being my brainchild. ICICI Bank was lending at 12percent. We stated why? Raise dollar loans. Now viability of this task will not be problem,” the minister said.
Skillfully developed said this will result in other major ports also using the external commercial borrowing (ECB) route as this works down cheaper regardless of the undeniable fact that the rupee happens to be dropping against US buck.
“This is a evidence of concept and that can be implemented because of the ministry of delivery in six other major ports with surplus dollar profits towards increasing cheaper funding in buck terms,” said Vinod Bahety, senior president for corporate finance at Yes Bank. Continue reading “JNPT raises $400 million dollar-denominated loan, other ports may follow suit”