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SBI to offer loan of Rs 1,400 crore to Damodar Valley Corporation

18 May 2012 Evaluate

State Bank of India (SBI), country’s largest public sector lender is likely to offer a loan of Rs 1,400 crore to Damodar Valley Corporation (DVC) to part-fund its 500-MW Bokaro Thermal Power Station (A) Project.  Associate banks of the bank are also going to lend Rs 1,000 crore to the project.

With this fund, DVC will replace the old and abandoned 247-MW Thermal Power Plant which was built in 1953. The debt-equity ratio of the Rs 3,500-crore project will be 70:30. The Bokaro Unit is expected to be commissioned in April 2014. Central Coalfields will offer fuel for the project and the power generated will be fed to the national grid.

Recently, SBI has introduced a ‘virtual' electronic debit card for e-commerce transactions. The customer can create this State Bank Virtual card using bank's internet banking facility with transaction rights and customer is not required to share any details of the principal account on the merchant web site.

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