The Indian government is planning a fresh round of equity funding of around $854 million into state-run steel producer Rashtriya Ispat Nigam Limited (RINL) to sustain operations of the financially stressed company, government sources said on Thursday, April 30.
This would mark the second round of bail-out, after the government had provided $174 million to RINL in 2024-25 to restart its operations. The last funding was in the form of $53 million in equity and the balance as a working capital loan.
The infusion of the previous tranche of funding enabled RINL to restart two of its three blast furnaces at its mill located in Vishakhapatnam in southern India with a template capacity of 7.3 million mt per year.
The latest round of fund infusion is aimed at helping RINL achieve financial sustainability in maintaining operations and achieve long-term viability, government sources said.
