IFC provides 50 million dollars loan to OCL

New Delhi, May 7 (UNI) International Finance Corporation (IFC) will provide a loan of 50 million dollars to OCL India Limited to support its production capacity expansion.

The loan will help OCL build and operate a new kiln line of 1.3 million tonnes per year clinker production capacity at its cement plant at Rajgangpur, Orissa.

The financing is expected to help the company set up a cement grinding unit of nine lakh tonnes per year at Kapilas, Orissa.

IFC South Asia Regional Manager Sujoy Bose said, ''IFC's loan will help India enhance its employment oppurtunities and develop infrastructure. We will also advise the company develop and implement integrated community development plan and adopt higher environmental, health and safety standards.'' The finance provided will meet the rising demand of cement and its corresponding shortfall in capacity in Eastern India.

IFC has provided the loan for a tenure of ten years which is expected to encourage other local banks to make long-term project finance available to manufacturing companies like OCL.

OCL Joint President Gaurav Dalmia said, ''IFCs assistance will boost the company's position and help serve the markets effectively. We look forward for further guidance for improvemnt of our environmental and social standards.'' OCL India Limited, formerly known as Orissa Cement Limited, is a cement producer in one of the most underdeveloped states of the country.

During the last fiscal, IFC committed around 400 million dollars in new investments in India.

UNI