Tata Power Company Limited has refinanced outstanding rupee loans to the tune of Rs 38.64 billion for its 4,000 MW Mundra ultra mega power project (UMPP) in Gujarat. This is likely to yield savings of
Rs 770 million per year in interest costs. The refinancing has been carried out under a Reserve Bank of India (RBI) circular dated August 7, 2014 wherein a minimum of 25 per cent of the outstanding loans is to be refinanced through new lenders. The refinancing exercise was undertaken by a consortium comprising India Infrastructure Finance Company Limited, Oriental Bank of Commerce, Vijaya Bank, State Bank of Hyderabad, State Bank of Bikaner, State Bank of Travancore and Axis Bank, led by the State Bank of India.