Union Cabinet has approved a ₹11,440 crore revival plan for Rashtriya Ispat Nigam Limited
- Union Cabinet has approved a ₹11,440 crore revival plan for Rashtriya Ispat Nigam Limited (RINL).
- It includes equity infusion of ₹10,300 crore and the conversion of ₹1,140 crore in working capital loans into preferred share capital.
- Rashtriya Ispat Nigam Limited (RINL) is a CPSE under the Ministry of Steel with 100% ownership of Government of India.
- RINL operates the Visakhapatnam Steel Plant (VSP), it is only offshore steel plant under Government sector in the state of Andhra Pradesh.
- The equity infusion into RINL will help it in overcoming the operational problems related to raising working capital.
- It would allow the company to gradually reach its full production capacity.
- Under the revival plan, RINL will start full production with two blast furnaces in January 2025 and with three blast furnaces August 2025.
- Steel production is a core sector of the economy. India is the world’s second largest producer of steel.
