IRFC refinances ₹12,842 crore Hindustan Urvarak and Rasayan loans

The Indian Railway Finance Corporation (IRFC) has said that it has signed a rupee term-loan agreement with Hindustan Urvarak and Rasayan (HURL) for the refinancing of its existing long-term debt up to ₹12,842 crore.

This is one of IRFC’s largest refinancing initiatives. The project is said to have forward and backward linkages with the ecosystem of the Indian Railways since HURL’s plants are connected through rail infrastructure, and fertiliser movement is undertaken in coordination with Indian Railways.

Hindustan Urvarak and Rasayan, a joint venture of PSUs including NTPC, Coal India, Indian Oil, FCIL and HFCL, was established under the Government of India’s initiative to revive closed fertiliser plants at Gorakhpur, Sindri and Barauni. All three plants are operational and contribute to India’s domestic urea production capacity.

The ongoing war in West Asia has led to disruptions in India’s fertiliser imports.