New Delhi: The government on Wednesday approved an equity infusion of Rs 1,500 crore in the Indian Renewable Energy Development Agency (IREDA), which would raise its additional lending capacity by Rs 12,000 crore.

"The enhanced lending capacity will enable IREDA to finance additional renewable energy capacity of up 4000 MW. Present loan book size of IREDA is around Rs 27,000 crore," an official said.

"The Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi, today approved the equity infusion of Rs 1,500 crore in IREDA," an official statement said.

Briefing reporters after the Cabinet meeting, Information, and Broadcasting Minister Anurag Singh Thakur said the decision has been taken in the wake of the RBI's lending norms.

Source- PTI