Indian Renewable Energy Development Agency Ltd (IREDA), a leading financial institution under the Ministry of New & Renewable Energy (MNRE), has reaffirmed its role in driving India’s clean energy transition with a solid financial performance and clear strategic direction. In its latest report, IREDA showcased impressive growth with a 49% increase in operating profit and a 30% rise in total income for the first quarter of FY 2025–26, compared to the same period last year.
This performance highlights the strength of IREDA’s core business and its vital role in supporting India’s renewable energy goals. The company’s loan book grew by 26%, reaching ₹79,941 crore, with a focus on solar, wind, and emerging sectors like green hydrogen, smart meters, and electric vehicles.
Further bolstering its financial standing, IREDA successfully raised ₹5,903 crore in the quarter, including a ₹26 billion ECB from SBI Tokyo, securing cost-effective capital to fund its renewable energy projects. The agency’s net worth rose by 36%, reaching ₹12,402 crore, reflecting sustained investor confidence in its operations and leadership in the renewable financing space.
Pradip Kumar Das, Chairman & Managing Director of IREDA, commented on the agency’s ongoing success: “Our commitment to operational excellence and responsible financing is central to our strategy. We are focused on creating long-term value for our stakeholders through strong governance, financial discipline, and unwavering support for India’s clean energy transition.”
A key policy development supporting this progress came on July 9, 2025, when the Central Board of Direct Taxes (CBDT) recognized IREDA bonds as “long-term specified assets” under Section 54EC of the Income-tax Act, 1961. This allows investors to claim capital gains tax exemptions, encouraging further investment in India’s green energy future while lowering IREDA’s cost of capital.
Over the last year, IREDA has made significant strides in reducing non-performing assets (NPAs) by enhancing its credit appraisal systems and recovery processes. As part of its long-term strategy, the agency continues to diversify its lending portfolio, aligning its efforts with both national sustainability goals and global green finance initiatives.
IREDA’s commitment to excellence was also recognized with the “CMA Icon 2025” award for its Chairman & Managing Director and a top-five national ranking in wealth creation between November 2023 and 2024, as ranked by a prominent business publication.
India recently achieved a historic milestone of 50% non-fossil fuel-based power capacity, surpassing its 2030 target five years ahead of schedule. This achievement is a testament to the growing opportunities within the renewable energy sector, and IREDA’s continued leadership in this space remains critical as the country sets its sights on the ambitious 500 GW target for clean energy. Through its financial backing and strategic initiatives, IREDA is helping accelerate India’s transition to a greener, more sustainable energy future.
The Indian Renewable Energy Development Agency (IREDA), a public sector undertaking under the Ministry of New and Renewable Energy (MNRE), is a pivotal institution in promoting clean energy initiatives in India. Established in 1987, IREDA specializes in financing renewable energy and energy efficiency projects, contributing significantly to India’s transition toward a sustainable energy future.
Its diverse portfolio spans solar, wind, hydro, biomass, and energy efficiency projects, supporting both large-scale infrastructure and innovative technologies. By providing financial solutions, including loans and grants, IREDA empowers stakeholders to implement green energy projects, fostering economic growth while addressing climate change. Recognized for its role in driving India’s renewable energy ambitions, IREDA remains instrumental in achieving the nation’s target of 500 GW of renewable energy capacity by 2030.
