JK Tyre ties up with IFC for India’s First Tyre Industry Sustainability-Linked Loan
New Delhi, India, January 21, 2025: International Finance Corporation (IFC) has sanctioned a $100
million Sustainability-Linked Loan (SLL) to JK Tyre, a leading Indian tyre manufacturer with a global
presence. The funding includes $30 million to JK Tyre & Industries Limited and up to $70 million for
Cavendish Industries Limited (CIL), a subsidiary of JK Tyre. JK Tyre is a flagship company of JK
Organisation, a global conglomerate.
The funding will support the expansion of tyre manufacturing capacity, focusing on Passenger Car Radial
(PCR) tyres at JK Tyre's Banmore plant in Madhya Pradesh and Truck and Bus Radial (TBR) tyres at CIL’s
Laksar plant in Uttarakhand. The initiative aims to promote energy-efficient tyre production, strengthen local
supply chains, and create jobs.
Dr. Raghupati Singhania, Chairman & Managing Director of JK Tyre & Industries said “We are
delighted to strengthen our relationship with IFC, securing a $100 million Sustainability-Linked Loan (SLL)
to fund our growth plans. By aligning financing to sustainability goals, we aim to drive positive
environmental and social impact while achieving our growth objectives. This reaffirms our commitment to
sustainable development, while embracing a holistic approach to bolster our presence in key product
segments.”
Riccardo Puliti, IFC’s Regional Vice President for Asia and the Pacific, said “Sustainable
manufacturing is key to realizing India’s green ambitions. The enduring partnership between IFC and JK
Group demonstrates our shared commitment to this vision. Our latest investment will drive climate-smart
manufacturing, enhance supply-chain integration, create quality jobs, and propel India towards self-reliance
in domestic production. The SLL, a first in India’s tyre industry, aims to set a benchmark and catalyze
widespread adoption across the manufacturing sector.”