New Delhi, Dec. 2 -- The Indian Railway Finance Corporation (IRFC) has secured a loan agreement with Sumitomo Mitsui Banking Corporation (SMBC), marking its return to the External Commercial Borrowing (ECB) market after a hiatus exceeding three years.

The agreement for a loan equivalent to USD $300 million in Japanese Yen (JPY) was signed on December 2, 2025, at GIFT City in Gandhinagar, Gujarat, according to a stock exchange filing. The company indicated that this financial maneuver is designed to support its diversified infrastructure projects, particularly those linked to the railway sector.

The ECB facility, which has a tenor of five years, is benchmarked to the Tokyo Overnight Average Rate (TONAR). The proceeds from this facility a...