City Union Bank secured a USD 50 million financing commitment from IFC, finalized on October 31, 2025, to facilitate MSMEs' transition to energy-efficient solutions, promoting sustainable business practices without involving equity or related-party transactions.
City Union Bank has entered a significant agreement with the International Finance Corporation (IFC), a member of the World Bank Group, securing a commitment of USD 50 million. Finalized on October 31, 2025, this financing initiative is designed to support Micro, Small, and Medium Enterprises (MSMEs) in adopting energy-efficient and cost-effective solutions, reinforcing sustainability and economic growth.
The one-of-its-kind alliance does not involve any shareholding or special rights such as director appointments or capital subscription preferences. The transaction is conducted at arm's length and is unrelated to promoter or group companies. While the commitment has been secured, the loan drawdown will occur in the near term.
This partnership underscores City Union Bank's strategic focus on promoting green finance initiatives. By empowering MSMEs to transition toward energy efficiency, the bank drives long-term cost savings and environmental benefits, aligning with global sustainability goals.
Notable Updates:
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USD 50 million financing commitment secured from IFC
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Support aimed at MSMEs transitioning to energy-efficient technologies
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Agreement executed on October 31, 2025
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No equity stake or special rights granted to IFC
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Transaction independent of promoter or group companies
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Loan drawdown to commence subsequently
Sources: City Union Bank, International Finance Corporation, World Bank Group.