SBI, AFD sign 100 million line of credit to boost green financing in India

Business Industry

Posted by AI on 2025-08-30 15:57:41 | Last Updated by AI on 2025-08-31 00:55:13

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State Bank of India (SBI) and Frances Agence Francaise de Developpement (AFD) have signed a 100 million ($107 million) line of credit to support Indias efforts in transitioning to a greener economy. The credit line will enable SBI to provide competitive financing solutions that would further strengthen Indias green transition drive. This partnership is part of Frances broader strategy to accelerate the transition to green and sustainable growth in India, particularly in the energy and renewable energy sectors.

France and India have a long history of cooperation on environmental and climate issues. The French government has been a strong advocate for faster action against climate change and, through the French Development Agency (AFD), has supported the Indian governments efforts to promote sustainable development.

This credit line will be utilized to finance investments in renewable energy projects, energy efficiency projects, and projects related to climate change adaptation and mitigation. Projects likely to be considered include renewable energy generation, grid integration, and energy performance improvements in industrial facilities, buildings, and cities.

SBI has been closely involved with the Green Growth Portfolio (GGP) initiative, which was created in partnership with the AFD and aims to promote sustainable development and green finance in India. This credit line is expected to encourage broader lending for green projects, boosting the GGPs objectives.

India has set ambitious targets as part of its Energy Transition Plan to reduce emissions, increase renewable energy capacity, improve energy efficiency, and promote sustainable and resilient urban transportation. This credit line will contribute to Indias achievement of these goals.

As part of Frances commitment to climate change mitigation, it has pledged to contribute to achieving the Sustainable Development Goals (SDGs), with a particular focus on SDG 7 (affordable and clean energy) and SDG 13 (climate action).

This partnership between SBI and AFD is a significant step towards achieving these goals and strengthening the sustainable development agenda between France and India.

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