An obscure government agency plans to indirectly support Adani’s controversial mega-coal mine by financing a business that will supply the project, it has emerged.

The Export Finance and Insurance Corporation, which provides loans to exporters, is also considering inquiries from other Adani suppliers, and held discussions with Adani representatives as recently as last month.

The Adani Carmichael project has encountered strong public opposition. Credit:AAP

The revelations raise questions over whether the government is using back-door routes to prop up the Adani project, and will fuel debate over public funding for mining projects in Australia.

EFIC did not respond to Fairfax Media’s questions over what firms would receive or had applied for funding, the level of funding provided or the implications for the loans if the mine did not proceed.