REC Limited Secures ‘Excellent’ MoU Rating for FY 2024–25
The Maharatna CPSE under the Ministry of Power secures the top performance rating from the Department of Public Enterprises, highlighting sustained financial strength and operational excellence.
Mumbai, Jan 10 : REC Limited, a Maharatna Central Public Sector Enterprise under the administrative control of the Ministry of Power and a leading non-banking financial company (NBFC), has achieved an ‘Excellent’ Memorandum of Understanding (MoU) performance rating for the financial year 2024–25.
The MoU was signed with the holding company, Power Finance Corporation Limited, and the rating has been awarded by the Department of Public Enterprises (DPE), Ministry of Finance, in accordance with prescribed government guidelines. This marks REC Limited’s third consecutive year of securing the ‘Excellent’ rating, underscoring its consistent operational and financial performance.
The MoU framework, designed by the Government of India, evaluates the performance of Central Public Sector Enterprises (CPSEs) based on their effectiveness in achieving core objectives. The system emphasises actual economic outcomes over effort-based metrics, aligning enterprise performance with government priorities, sectoral benchmarks and shareholder interests. Performance parameters are assessed against past results, future projections, industry standards and the strategic vision of the administrative ministry.
The assessment highlighted REC Limited’s strong financial position and superior asset quality. Key drivers of the high rating included sustained financial performance, high operational efficiency, strong market competitiveness and adherence to ethical corporate governance practices.
In addition, the Department of Public Enterprises’ annual Public Enterprise Survey for FY 2024–25 placed REC among the top performing CPSEs across multiple financial parameters, reinforcing the company’s commitment to operational excellence and financial discipline.
With this continued validation of performance, REC Limited remains firmly positioned as a leading financier in India’s power sector, playing a crucial role in strengthening power infrastructure and supporting the country’s long-term sustainable economic growth.
