REC Limited to Establish Subsidiary in GIFT City, Boosting India’s Energy Sector

REC Limited, a prominent Maharatna Central Public Sector Enterprise under India’s Ministry of Power, has obtained approval from the Reserve Bank of India to establish a wholly owned subsidiary at the Gujarat International Finance Tec-City (GIFT), Gandhinagar. The RBI’s ‘No Objection Certificate’ for the expansion was issued on May 3, 2024.

This strategic move is part of REC’s efforts to diversify its portfolio and tap into new growth opportunities. The subsidiary, which will be located in GIFT, a rising hub for financial services in India, will engage in various financial activities, including lending and investment.

REC’s Chairman and Managing Director, Vivek Kumar Dewangan, expressed enthusiasm for the expansion, highlighting the conducive environment GIFT City offers for international lending activities. He noted that the new entity would not only open up business opportunities for REC but also contribute to the growth of India’s energy sector. Dewangan emphasized that this move aligns with REC’s mission to support growth in India’s power and infrastructure sectors while expanding its global presence.

GIFT City provides world-class infrastructure and a favorable business environment, which REC aims to leverage as it positions itself in the global market. The new subsidiary is expected to further the company’s objective of fostering development in the country’s critical sectors while exploring international markets.