SREI Benchmark Rate increases by 150 Basis Points

SREI Infrastructure Finance Ltd has announced that the Company has raised its Benchmark Rate (SBR) by 150 basis points to 13%. The change will be effective from April 01, 2007.

The Company's Asset Liability Committee (ALCO) met last Saturday and after reviewing the likely increase in the borrowing costs, decided to increase the benchmark lending rate in line with the present trend of upward moving interest rates in the financial market.

Hemant Kanoria, Vice Chairman & Managing Director of the Company said, "This is in accordance with the rising interest rate scenario in the market." He asserted that the enhancement in the benchmark rates is unlikely to affect the momentum of growth which is clearly visible from the robust growth in disbursement volumes."

The Company has touched nearly a billion dollars in assets under management. Besides growing its traditional areas of business such as infrastructure equipment and project financing in the area of road, power, ports, aviation and urban infrastructure sectors, the Company forayed successfully into funding infrastructure in the railway sector. Mining is also another area where the Company has established a significant presence. The Company has also made an entry into, overseas markets in Russia where it is successfully replicating the Company model of infrastructure equipment financing.

Source : Equity Bulls

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