The International Finance Corporation (IFC), the World Bank's private-sector arm, Wednesday launched rupee-denominated bonds worth $2.5 billion to fund infrastructure investments in India.
"Under the programme, IFC will use a combination of rupee-denominated bonds and swaps to raise local-currency financing of up to $2.5 billion, or Rs.15,000 crore, over the next five years," IFC said in a statement here.
"Proceeds from the programme will be used for infrastructure investments in India," it added.
Commenting on the development, Finance Secretary Arvind Mayaram said: "Issuance of onshore bonds by IFC in the Indian bond market, with offer of longer tenor bonds, will deepen the bond market and also provide much needed finance to infrastructure projects."
Last year, IFC issued a $1 billion offshore global bond programme linked to the rupee exchange rate and invested $1.2 billion in India, the statement said.