President of India Approves Merger of REC Ltd into Power Finance Corporation (PFC)

Exam-focused facts from the 12 June 2026 current affairs briefing.

Key facts

The President of India has granted approval for the merger of REC Ltd into Power Finance Corporation (PFC).
The Ministry of Power conveyed the approval of the Competent Authority through an official letter dated June 10, 2026.
In March 2019, PFC completed the acquisition of the government's majority stake of 52.63 per cent in REC Ltd for ₹14,500 crore.
Upon the merger becoming effective, all assets and liabilities of REC Ltd will be transferred to PFC, and REC Ltd will stand dissolved under Sections 230-232 of the Companies Act 2013.
Finance Minister Nirmala Sitharaman proposed the restructuring of PFC and REC Ltd in the budget speech to improve efficiency in Public Sector Non-Banking Financial Companies (NBFCs).