JSW Motors has been able to procure around Rs 8,000 crores worth of finance through State Bank of India (SBI) in order to undertake its electric vehicle (EV) manufacturing projects. This long-term finance will be for more than 10 years, and it will essentially finance the setting up of a greenfield manufacturing facility in Maharashtra. The company’s strategy is aimed at tapping into India’s growing market for electric and hybrid vehicles.
Financing indicates growing faith in future growth of the EV sector:
This financing is important since it illustrates how lenders have started to show increased faith in the growing electric mobility industry in India. As per reports, the finance can be reallocated to other banks by SBI, depending on demand in the secondary loan market space.
In line with the Indian government’s strategy for achieving clean mobility objectives:
Moreover, JSW Motors has been partnering with SAIC Motor Corp. under JSW MG Motor India and Chery Automobile Co., in ventures related to new-energy automobiles. The above venture is also in line with India’s objective for facilitating clean mobility solutions and indigenous automobile manufacturing capacity.
