The Indian Railway Finance Corporation (IRFC), the financing arm of the Ministry of Railways, has achieved a significant milestone by becoming India’s third-largest government-owned Non-Banking Financial Company (NBFC). As of 31st March 2024, IRFC has recorded a revenue of over Rs 26,600 crore and a profit after tax exceeding Rs 6,400 crore.
In recognition of its consistent performance and growing strategic importance, the Government of India has granted IRFC the prestigious Navratna status. This elite designation is reserved for Central Public Sector Enterprises (CPSEs) that demonstrate excellence in financial strength, management and contribution to nation-building.
Since its establishment in 1986, IRFC has been instrumental in financing around 80 per cent of Indian Railways’ rolling stock requirements. Notably, it became the first CPSE to issue a 30-year tenor bond in international markets. As of 31st December, 2024, IRFC boasts a market capitalisation exceeding Rs 2 lakh crore, an Asset Under Management (AUM) of Rs 4.61 lakh crore, a net worth of nearly Rs52,000 crore, and a balance sheet size of more than Rs 4.81 lakh crore.
Commenting on this achievement, IRFC CMD and CEO, Manoj Kumar Dubey said, “Receiving Navratna status is a reflection of IRFC’s financial strength and its commitment to supporting India’s railway infrastructure. This recognition further motivates us to expand our capabilities and contribute more meaningfully to the nation’s growth.”
In line with its vision of diversification, IRFC is now expanding into adjacent sectors like power, mining, warehousing, telecom and hospitality. It recently secured funding worth Rs 700 crore for 20 BOBR rakes for NTPC and emerged as the lowest bidder for a Rs 3,190 crore loan to Patratu Vidyut Utpadan Nigam Limited (PVUNL). IRFC has also won the mandate to finance a Rs 7,500 crore Rupee Term Loan for NTPC Renewable Energy Limited (NTPC REL).
