IRFC Signs MoU for Tuticorin Port Outer Harbour Development
Filing Summary
Indian Railway Finance Corporation Limited (IRFC) has entered into a strategic Memorandum of Understanding (MoU) with V.O. Chidambaranar Port Authority (VOCPA) and Sagarmala Finance Corporation Limited (SMFC) to finance the Outer Harbour Development at Tuticorin Port. The MoU was signed on February 3, 2026, in New Delhi. This collaboration aims to support large-scale port and multimodal infrastructure projects. The agreement highlights IRFC’s role in integrated transport infrastructure, enhancing logistics efficiency and economic development. The MoU combines IRFC’s financing capabilities with VOCPA’s port expansion and SMFC’s maritime expertise.
Indian Railway Finance Corporation Limited (IRFC) has signed a strategic Memorandum of Understanding (MoU) with V.O. Chidambaranar Port Authority (VOCPA) and Sagarmala Finance Corporation Limited (SMFC) for the development of the Outer Harbour at Tuticorin Port. The MoU was formalized on February 3, 2026, at Transport Bhawan, New Delhi. The agreement involves collaboration to finance large-scale port and multimodal infrastructure projects, marking a significant step in infrastructure diversification.
The financial terms of the MoU have not been disclosed in the filing. However, the agreement underscores the combined financial strengths of the involved parties. IRFC brings its strong capital market access and long-tenor financing capabilities to the table. SMFC contributes its expertise in maritime sector financing, while VOCPA is engaged in a large-scale port expansion program under the Sagarmala initiative and PM Gati Shakti National Master Plan.
The scope of the MoU includes exploring structured financing for the Outer Harbour Project at V.O. Chidambaranar Port. This project is part of a broader initiative to enhance port-led and multimodal connectivity projects. The collaboration aims to integrate financing across railways, ports, logistics corridors, and multimodal networks. The agreement reflects a commitment to support port-led development that is seamlessly connected with rail infrastructure.
The market context for this agreement is the growing demand for integrated transport infrastructure in India. The partnership aligns with the Government of India’s emphasis on improving logistics efficiency and supporting sustainable growth. The collaboration is expected to enhance the capacity and connectivity of VOCPA, which is undertaking significant upgrades to support increasing cargo volumes and coastal trade.
The MoU was signed by Manoj Kumar Dubey, Chairman & Managing Director of IRFC, Susanta Kumar Purohit, Chairperson of VOCPA, and LVS Sudhakar Babu, Managing Director of SMFC. The signing ceremony was attended by key government officials, including the Minister of Railways, Communications and Electronics & Information Technology, the Minister of Ports, Shipping and Waterways, and the Minister of State for Ports, Shipping and Waterways. This underscores the government’s focus on integrated transport infrastructure and multimodal connectivity.
V.O. Chidambaranar Port Authority is a major port in India, actively expanding its capacity and connectivity to accommodate growing trade volumes. The port’s expansion is part of the Sagarmala initiative, which aims to enhance the country’s maritime infrastructure. Sagarmala Finance Corporation Limited plays a crucial role in accelerating maritime infrastructure financing, supporting projects that align with national development goals.
Indian Railway Finance Corporation Limited is a Navratna Central Public Sector Enterprise and the dedicated financing arm of the Ministry of Railways. It focuses on financing railway projects and is expanding its role to support national infrastructure development. The company is committed to meeting India’s growing infrastructure needs through strategic partnerships and innovative financing solutions.