A new IFC report on Blended Finance for Climate Investments in India maintains that catalytic capital will be critical for investments in private sector climate projects in India.
The blended finance market in India is growing and at a critical inflection point. There is increasing recognition of the importance of collaboration between public, private, and philanthropic capital to unlock development gains. The report emphasizes the urgent need for blended finance for climate solutions in agriculture, land and water management, power, transport, infrastructure, health, industry, and circularity—in alignment with India’s net-zero ambitions as well as the government’s short, medium, and long-term development priorities.
With positive regulatory changes for tax exemptions related to blended finance already underway, the report highlights with IFC’s existing blended finance investment case studies the role IFC can play in increasing blended finance climate investments in India with the support of concessional funds from contributors.