Govt Rescues RINL with ₹1,640 Crore Bailout, Divestment Plans Halted

The Indian government has approved a ₹1,640 crore emergency package to keep Rashtriya Ispat Nigam Ltd (RINL), or Vizag Steel, operational amid mounting debts of ₹18,000 crore. This funding covers interest payments and working capital, allowing RINL to continue until December. RINL’s auditors had raised doubts about its financial sustainability, leading the Ministry to halt divestment and task SBI Capital Markets with preparing a restructuring plan. Banks, led by SBI, previously denied new loans due to RINL’s cash-flow issues.

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