Reliance Jio to raise additional $1.5 billion to fund 5G capex

Reliance Jio Infocomm Limited is planning to raise an additional $1.5 billion (Rs 123 billion) via external commercial borrowings (ECBs) to fund its 5G capital expenditure. To this end, the telco has reached out to foreign banks including BNP Paribas, HSBC and MUFG Bank. In addition, the operator is seeking to collect funding for five years via the ECB route with the relaxation of the Reserve Bank of India norms a few months ago. The latest fundraising is in addition to a $2.5 billion (Rs 206 billion) offshore syndicated loan for which Jio is in talks with overseas lenders. This $2.5 billion fund is expected to be utilised for 5G network gear purchases from Ericsson and Nokia.