The Japan Bank for International Cooperation (JBIC) has signed an agreement to set up a credit line of JPY120 billion (~$770.64 million) with the government-owned Power Finance Corporation (PFC).

JBIC’s share of the total credit line will be JPY72 billion (~$462.38 million).

PFC secured the credit line under JBIC’s Global Action for Reconciling Economic Growth and Environmental Preservation (GREEN) program for India-based energy projects, including renewable and next-generation energy supply, energy-saving power generation, and heat supply.

Under the GREEN initiative, the bank finances projects to reduce greenhouse emissions and promote Japanese environmental technologies globally.

The bank financially supports developing solar power generation facilities and efficient power projects incorporating advanced environmental technologies, and energy-saving equipment.

PFC offers financial support to the power and infrastructure segment to meet the government’s energy sector goals.

In 2022, JBIC signed a general agreement with PFC for a credit line of JPY30 billion (~$192.66 million), of which JBIC’s portion was JPY18 billion (~$115.59 million).

In October 2024, PFC announced the closure of its largest-ever foreign currency term loan, raising $1.265 billion. The deal was facilitated through an agreement with multiple banks located in IFSC at GIFT City, Gandhinagar in Gujarat. The funds from this loan will finance projects other than thermal power generation, underscoring PFC’s commitment to decarbonization and supporting the shift to green energy.

Last March, JBIC signed strategic loan agreements with NTPC Renewable Energy and NHPC to help develop renewable energy projects across India.

PFC recorded a net profit of ₹43.70 billion (~$524.5 million) during the second quarter of the financial year 2025, a year-over-year increase of 13.6%. The government-owned lender’s loan disbursements surged 155%, growing from ₹217.90 billion (~$2.61 billion) in the first six months of FY24 to ₹555.62 billion (~$6.67 billion) in FY25.