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India plans to merge PFC and REC to boost power and infrastructure financing.
The Indian government has announced plans to restructure state-owned Power Finance Corporation (PFC) and Rural Electrification Corporation (REC) to improve efficiency, strengthen financing for power and infrastructure projects, and support India’s ₹12.2 lakh crore capital expenditure drive.
The move, revealed in the Union Budget 2026-27, aims to merge the two entities to enhance their capital base, reduce duplication, and boost lending capacity, with experts noting potential benefits for renewable energy and infrastructure development.
PFC and REC shares rose up to 6 percent following the announcement, though broader market indices declined.
Specific implementation details remain pending.
India planea fusionar PFC y REC para impulsar la financiación de la energía y la infraestructura.