IRFC has announced the appointment of Joint Statutory Auditors for the financial year 2025-26, as communicated to the stock exchanges on December 16, 2025. The appointment follows regulatory requirements under the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Auditor Appointments

The Comptroller and Auditor General of India (CAG) has appointed two chartered accountancy firms as Joint Statutory Auditors under Section 139 of the Companies Act, 2013. The appointment was communicated through CAG's letter dated December 15, 2025.

Appointed Auditing Firms

The two firms selected for the joint statutory audit are M/s OP Totla & Co and M/s KGRS & Co. These firms bring complementary expertise and extensive experience in auditing government enterprises and listed companies.

M/s OP Totla & Co

Established in 1972, OP Totla & Co is a chartered accountancy firm with over 51 years of operational experience. The firm operates from multiple locations across India and maintains a strong professional team.

The firm specializes in audit and assurance, taxation services, information systems audit, risk advisory, and corporate services. OP Totla & Co holds peer review certification from the Institute of Chartered Accountants of India (ICAI) and is empaneled with the Indian Banks Association for forensic audits, CAG of India, and maintains Level I empanelment with the Reserve Bank of India.

M/s KGRS & Co

KGRS & Co, established in 1988, operates as a comprehensive professional services firm focusing on high-quality service delivery across multiple domains. The firm serves a diverse clientele including multinational corporations, Indian corporates, and financial institutions.

The firm's service portfolio encompasses audit and compliance, taxation, corporate services, and management consultancy. KGRS & Co has developed expertise in international taxation, transfer pricing, India entry strategy, joint venture formations, mergers and acquisitions, and regulatory compliance under the Companies Act and Foreign Exchange Management Act.

Regulatory Compliance

The appointment fulfills IRFC's statutory obligations under applicable regulations. The company has informed both the National Stock Exchange of India Limited and BSE Limited about this development, ensuring transparency with stakeholders and regulatory compliance.

The joint statutory audit arrangement will provide comprehensive oversight of the company's financial reporting and internal controls for the financial year 2025-26, leveraging the combined expertise of both appointed firms in government enterprise auditing and corporate financial oversight.

Indian Railway Finance Corporation (IRFC) has made a significant move in the international financial markets by signing a loan agreement with Sumitomo Mitsui Banking Corporation's GIFT City branch for an External Commercial Borrowing (ECB) of JPY equivalent to USD 300 million. This marks IRFC's return to the ECB market after a hiatus of more than three years, signaling a strategic shift in its funding approach.

Key Details of the ECB Agreement

• Loan Amount: JPY equivalent to USD 300 million
• Tenure: 5 years
• Benchmark: Overnight TONAR (Tokyo Overnight Average Rate)
• Purpose: Financing projects with forward or backward linkage to the railway sector

Strategic Implications

This move by IRFC is aimed at:

1. Reducing the weighted average borrowing cost
2. Reviving presence in the international market
3. Strengthening railway infrastructure

Financial Position of IRFC

To provide context on IRFC's financial standing, here's a snapshot of key balance sheet items:

The balance sheet data indicates a stable financial position with modest growth in assets and a more significant increase in equity over the past year. This solid financial foundation likely contributed to IRFC's ability to secure favorable terms for the ECB.

Implications for Railway Sector Development

The ECB agreement is expected to play a crucial role in furthering the development of India's railway infrastructure. By tapping into international markets, IRFC is diversifying its funding sources and potentially accessing more competitive rates, which could translate to more efficient financing for railway projects.

As IRFC continues to strengthen its financial position and explore diverse funding avenues, it is well-positioned to support the ongoing modernization and expansion of India's railway network, a critical component of the country's infrastructure development strategy.