Power Finance Corporation Limited (PFC) has signed a €150 million loan agreement with Germany’s KfW to finance projects under the Government of India’s revamped distribution sector scheme (RDSS).
The loan proceeds will be used for projects aimed at improving the operational and financial efficiency of power distribution companies across the country. The agreement continues the long-standing cooperation between India and Germany in the energy sector. PFC and KfW have previously collaborated on multiple projects in the distribution sector, and this new facility is expected to further strengthen bilateral cooperation while contributing to the shared goal of both countries of accelerating the energy transition.