India’s Top PSUs 2022

Indian Railway Finance Corporation (IRFC) is a Schedule ‘A’/Miniratna Public Sector Enterprise under administrative control of Ministry of Railways, Government of India. The company was set up in December 1986 for mobilizing funds from domestic and overseas markets to meet the pre-dominant portion of Extra Budgetary Resources requirement of Indian Railways. Since inception, IRFC has funded acquisition of 13,399 locomotives, 74,467 passenger coaches and 2,59,851 freight wagons. Our focused approach in supporting the expansion and modernisation of Indian Railways keeps us perfectly poised to make Indian Railways future-ready. The company has played a critical role in augmenting the annual plan outlay of Indian Railways by way of mobilizing funds from all across the financial spectrum forming part of EBR funding. The cumulative funding to the Indian Railway sector by IRFC has crossed ` 5.04 lakh crore mark by the end of the Q1 FY2022-23. Indian Railways has embarked on a massive investment outlay for modernization, upgradation and growth of Indian Railway system. Correspondingly, the funding by IRFC has grown exponentially which is evident from the fact that the cumulative funding has been of the order of ` 2.95 lakh crore during the last 5 years constituting about 61% of the total disbursement made since inception. Indian Railway Finance Corporation Limited Smt. Shelly Verma Chairman and Managing Director (Addl. Charge) and Director (Finance) The Asset Under Management has registered a tremendous growth and has reached a level of approx. ` 4.32 lakh crore at the end of Q1 FY 2022-23. For the year 2022-23, the annual funding target for IRFC has been fixed at ` 66,500 crore which includes ` 31,000 crore for funding of rolling stock assets and funding of railway projects to the extent of ` 35,500 crore. IRFC successfully completed its IPO and listing of equity shares in January 2021. Post IPO, the company has performed exceptionally well on all fronts and it has lived up to the expectations of its parent ministry and all its stakeholders. IRFC also raised USD 500 million 144A/ Reg S Green Offshore Bonds and became the first CPSE in the country to list its offshore bonds exclusively at Indian stock exchanges established in the GIFT City, Gandhinagar. IRFC has been supporting the Indian Railways in achieving its plan of 100% electrification by 2024 and net zero carbon emission network by 2030. IRFC also strives to remain a responsible corporate entity aware of its responsibilities to all the stakeholders as a part of its Corporate social responsibility and sustainability policy. Some of the major projects undertaken in last three years include toilets constructions, supply of medical equipment to combat COVID, Skill development, contribution to Army flag day fund etc. The company is constantly diversifying its borrowing portfolio to adequately support the endeavours of Indian Railways, year after year. IRFC is considered the best credit in the domestic as well as international capital market which has enabled it to raise funds consistently at lower rates as compared to other entities in the same ecosystem. IRFC is alsoexploringoptions todiversify its lending portfolio and other avenues where we can finance other infra projects which are having backward and forward linkage with Indian Railways in the government/private sector with proper techno-commercial due diligence with adequate ring fencing of the loan portfolio. Since, we have the inherent strength and advantage of raising funds at very competitive rates, we would like to leverage the same to our advantage towards efficient and effective diversification of lending portfolio. The cost competitiveness of IRFC can be attributed primarily to the best possible rating accorded to it by the prominent domestic as well as international credit rating agencies. The company has been consistently graded ‘Excellent’ by the Department of Public Enterprises for its performance vis-à-vis the targets set out in the Memorandum of Understanding executed with Ministry of Railways, Government of India, since 2016-17. IRFC was ranked 96th in the Fortune India 500 companies on the basis of FY 2021 financial results. Dun & Bradstreet