Welcome to GKboard.in, your trusted source for current affairs updates tailored for competitive exams. Today, we bring you a detailed yet simple breakdown of the India Infrastructure Finance Company Limited (IIFCL)’s stellar performance in FY 2024-25. This is a must-know topic for aspirants preparing for exams like UPSC, SSC, Banking, and other government recruitment tests.
Overview of IIFCL’s Achievements
Record-Breaking Sanctions and Disbursements
In FY 2024-25, IIFCL achieved its highest-ever Annual Sanctions of Rs. 51,124 Crore and Annual Disbursements of Rs. 28,501 Crore. This marks a significant year-on-year growth of 21% and 28% compared to FY 2023-24 figures of Rs. 42,309 Crore and Rs. 22,356 Crore, respectively. Dr. P.R. Jaishankar, Managing Director of IIFCL, announced this milestone, highlighting the company’s consistent growth for the fifth consecutive year.
The Cumulative Sanctions and Disbursements as of March 31, 2025, stood at Rs. 3.06 Lakh Crore and Rs. 1.56 Lakh Crore, respectively, with 55% of these achieved in the last five years. On a consolidated basis, these figures were even higher at Rs. 3.53 Lakh Crore and Rs. 1.79 Lakh Crore.
Highest Ever Profitability
Profit Before Tax and Profit After Tax
IIFCL recorded its highest-ever Profit Before Tax (PBT) of Rs. 2,776 Crore in FY 2024-25, a 37% increase from Rs. 2,029 Crore in FY 2023-24. The Profit After Tax (PAT) also surged by 39% to Rs. 2,165 Crore, up from Rs. 1,552 Crore the previous year. Remarkably, this PAT is a 42x increase compared to FY 2019-20, showcasing IIFCL’s financial turnaround.
Strengthened Financial Position
Growth in Net Worth
The company’s Net Worth grew by 15% to Rs. 16,395 Crore in FY 2024-25, up from Rs. 14,266 Crore in FY 2023-24. This growth enhances IIFCL’s capacity to finance more infrastructure projects with higher exposure limits, contributing to India’s infrastructure development.
Improved Asset Quality
Decline in NPAs and Strong CRAR
IIFCL significantly improved its asset quality by reducing the Gross NPA Ratio to 1.11% (from 1.61% in FY 2023-24 and 19.70% in FY 2019-20) and the Net NPA Ratio to 0.35% (from 0.46% and 9.75% in the same periods). Additionally, 93% of its assets are now rated ‘A’ and above, up from 88% in FY 2023-24. The Capital to Risk-weighted Assets Ratio (CRAR) stood at a robust 23.44%, well above regulatory requirements.
Loan Portfolio and Investments
Growth in Loans and Bonds/InvITs
The Standalone Loan Portfolio grew by 37% to Rs. 69,904 Crore in FY 2024-25 from Rs. 51,017 Crore in FY 2023-24. Since FY 2021-22, IIFCL has also invested heavily in Infrastructure Bonds (Rs. 29,102 Crore) and InvITs (Rs. 14,220 Crore), boosting long-term financing for infrastructure projects.
Performance Snapshot
Key Financial Metrics (FY 2020–2025)
| Particulars | FY20 | FY21 | FY22 | FY23 | FY24 | FY25 |
|---|---|---|---|---|---|---|
| Annual Sanctions | 9,337 | 20,892 | 25,120 | 29,171 | 42,309 | 51,124 |
| Annual Disbursements | 6,015 | 9,460 | 10,445 | 13,826 | 22,356 | 28,501 |
| Profit Before Tax (PBT) | -291 | 315 | 590 | 1,277 | 2,029 | 2,776 |
| Profit After Tax (PAT) | 51 | 285 | 514 | 1,076 | 1,552 | 2,165 |
| Gross NPA Ratio | 19.70% | 13.90% | 9.22% | 4.76% | 1.61% | 1.11% |
| Net NPA Ratio | 9.75% | 5.39% | 3.65% | 1.41% | 0.46% | 0.35% |
About IIFCL
Role in Infrastructure Financing
IIFCL is a government-owned financial institution dedicated to meeting the long-term financing needs of India’s infrastructure sector. It is one of the most diversified public sector infrastructure lenders, offering a wide range of products and financing various infrastructure sub-sectors. IIFCL also provides policy inputs to the government to promote world-class infrastructure in India.
Why This Matters for Competitive Exams
Key Takeaways for Students
Understanding IIFCL’s performance is crucial for competitive exam aspirants, as questions on financial institutions, infrastructure development, and economic growth are common in exams like UPSC, IBPS, and SSC. Focus on key figures like Annual Sanctions, Disbursements, PBT, PAT, and NPA ratios, as well as IIFCL’s role in infrastructure financing.
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