PFC Signs EUR150 Million Loan Pact with Germany’s KfW to Support RDSS Projects

Current Context: On August 21, 2025, Power Finance Corporation (PFC) signed a €150 million loan agreement with Germany’s KfW Bank to support projects under the Revamped Distribution Sector Scheme (RDSS).

• The funds will enhance operational and financial efficiency of DISCOMs, aligning with India’s goal of reliable and sustainable power supply.
• This pact continues the India–Germany energy partnership, with a focus on clean energy and distribution reforms.
• The agreement was signed by PFC CMD Parminder Chopra and KfW CEO Stefan Wintels, in presence of German Embassy officials.

Question:

Q.1 On August 21, 2025, Power Finance Corporation (PFC) signed a €150 million loan agreement with which German bank to support projects under the Revamped Distribution Sector Scheme (RDSS)?
a. Deutsche Bank
b. KfW Bank
c. Commerzbank
d. European Investment Bank

Answer: b) PFC signed the loan agreement with KfW Bank of Germany. The funds are meant for projects under RDSS to improve power distribution efficiency