The Government on Tuesday said it will discuss next week relief measures for power project developers, facing difficulty in securing funds from the capital markets.
“We are calling a meeting of the power developers in the first week of December to access the situation... We will provide a helping hand and they will have solid support of the Government,'' Power Secretary, Mr Anil Razdan told reporters here. In the meeting between the Ministry of Power and the developers, the situation in respect of fuel tie-up, land and water availability issues of the power project developers would also be assessed. On reports that banks are wary of large exposure in the power sector, Mr Razdan said, “There is no reason for the banks to shy away from the power sector.'' Some banks are displaying credit aversion to the infrastructure sector, driven by sectoral exposure, cost rise and lower than budgeted revenue flows. Despite fulfilling all the prior conditions of the banks, infrastructure projects are finding it difficult to get banks disburse funds to them. Banks are citing liquidity crunch and market conditions for their inability to fund such projects --~--~---------~--~----~------------~-------~--~----~ You received this message because you are subscribed to the Google Groups "Kences1" group. To post to this group, send email to [email protected] To unsubscribe from this group, send email to [EMAIL PROTECTED] For more options, visit this group at http://groups.google.com/group/kences1?hl=en -~----------~----~----~----~------~----~------~--~---
