{"id":19156,"date":"2024-01-10T02:10:59","date_gmt":"2024-01-09T20:40:59","guid":{"rendered":"https:\/\/vajiramandravi.com\/current-affairs\/?p=19156"},"modified":"2025-04-05T15:38:19","modified_gmt":"2025-04-05T10:08:19","slug":"rec-limited","status":"publish","type":"post","link":"https:\/\/vajiramandravi.com\/current-affairs\/rec-limited\/","title":{"rendered":"What is REC Limited?"},"content":{"rendered":"<h2>About REC Limited<\/h2>\n<ul>\n<li>REC Limited (formerly Rural Electrification Corporation Limited) is a\u00a0Central Public Sector Undertaking under the\u00a0Ministry of Power involved in\u00a0financing projects in the complete\u00a0power sector value chain from generation to distribution.<\/li>\n<li>It is\u00a0registered with the RBI as a Non-Banking Finance Company (NBFC), a\u00a0Public Financial Institution (PFI) and an\u00a0Infrastructure Financing Company (IFC).<\/li>\n<li>History:\n<ul>\n<li>It was\u00a0incorporated in 1969, in the\u00a0backdrop of severe drought and famine in the country,\u00a0to energize agricultural pump-sets for irrigation purposes, thereby reducing the dependency of agriculture on monsoons.<\/li>\n<li>REC has evolved and\u00a0expanded its financing mandate\u00a0to cover the entire Power-Infrastructure sector, comprising Generation, Transmission, Distribution, Renewable Energy and new technologies like Electric Vehicles, Battery Storage, Green Hydrogen etc.<\/li>\n<li>More recently REC has\u00a0also diversified into the Non-Power Infrastructure sector comprising Roads &amp; Expressways, Metro Rail, Airports, IT Communication, Social and Commercial Infrastructure (Educational Institution, Hospitals), Ports and Electro-Mechanical (E&amp;M) works in respect of various other sectors like Steel, Refinery, etc.<\/li>\n<\/ul>\n<\/li>\n<li>Financing: REC\u00a0provides long-term loans and other financing products to State, Centre, and Private Companies\u00a0for\u00a0creation of infrastructure assets in the country.<\/li>\n<li>REC\u00a0funds its business with market borrowings of various maturities,\u00a0including bonds and term loans, apart from foreign borrowings.\u00a0<\/li>\n<li>RECPDCL\u00a0(REC Power Development and Consultancy Limited), the wholly owned\u00a0subsidiary of REC,\u00a0provides a range of\u00a0value-added consultancy services in the power sector.\u00a0<\/li>\n<\/ul>\n<hr \/>\n<h3>Q1) What is a Non-Banking Finance Company (NBFC)?<\/h3>\n<p>A Non-Banking Financial Company (NBFC) is a company registered under the Companies Act, 1956 engaged in the business of loans and advances, acquisition of shares\/stocks\/bonds\/debentures\/securities issued by Government or local authority or other marketable securities of a like nature, leasing, hire-purchase, insurance business, chit business but does not include any institution whose principal business is that of agriculture activity, industrial activity, purchase or sale of any goods (other than securities) or providing any services and sale\/purchase\/construction of immovable property.<\/p>\n<p><strong>Source:<\/strong> <a href=\"https:\/\/energy.economictimes.indiatimes.com\/news\/power\/rec-sets-1-lakh-crore-sanction-target-for-roads-and-highways-in-fy24\/106652438\" target=\"_blank\" rel=\"nofollow noopener\"><u>REC sets \u20b91 lakh crore sanction target for infrastructure space including roads\u00a0<\/u><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>REC Limited is a Central Public Sector Undertaking under the Ministry of Power involved in financing projects in the complete power sector value chain from generation to distribution.<\/p>\n","protected":false},"author":5,"featured_media":19157,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[],"class_list":{"0":"post-19156","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-upsc-prelims-current-affairs","8":"no-featured-image-padding"},"acf":[],"_links":{"self":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/19156","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/comments?post=19156"}],"version-history":[{"count":0,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/19156\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media\/19157"}],"wp:attachment":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media?parent=19156"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/categories?post=19156"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/tags?post=19156"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}