City Union Bank (CUB) has secured a $50 million commitment from the International Finance Corporation (IFC) to support Micro, Small, and Medium Enterprises (MSMEs) in transitioning to energy-efficient solutions. The financing aims to help MSMEs adopt sustainable practices, reduce energy costs, and improve their competitiveness. This partnership supports India’s efforts toward sustainable development and a low-carbon economy.
IFC Support for Sustainable MSMEs
City Union Bank (CUB) has secured a significant $50 million commitment from the International Finance Corporation (IFC), a member of the World Bank Group. The agreement, executed on October 31, 2025, is aimed at financing Micro, Small, and Medium Enterprises (MSMEs) in their transition to energy-efficient and cost-effective operations.
Transition to Green Solutions
The IFC’s financing will support MSMEs in adopting solutions that reduce energy consumption and operational costs. This initiative aligns with India’s broader goals for sustainable development and reducing carbon emissions. By improving energy efficiency, MSMEs can enhance their competitiveness and contribute to a greener economy.
Details of the Agreement
The agreement with the IFC does not involve any shareholding or special rights for the IFC within City Union Bank. The purpose of the agreement is strictly to provide financial support for green initiatives within the MSME sector. There are no related party transactions associated with this agreement.
Loan Specifics
City Union Bank is the borrower, and the International Finance Corporation (IFC) is the lender. The loan is specifically purposed to facilitate the transition to energy-efficient and cost-effective solutions for MSMEs. The total commitment secured is USD 50.00 Million. The drawdown of the loan will occur at a later date, after commitment has been secured. As of October 31, 2025, no amount has been drawn down.
Source: BSE
