Climate Policy Initiative (CPI) said India’s tracked climate mitigation finance averaged INR 6,685 billion ($81.9 billion) across two fiscal years, with clean energy taking the largest share of the tracked total.
The fourth edition of CPI’s Landscape of Green Finance in India, listed as published Oct. 28, maps finance flows across sources, instruments, sectors and subsectors. The report labels the newer figure “2023/24,” but it is an annual average for FY2022-23 and FY2023-24, not a total for FY2023-24 alone. CPI compared it with INR 3,712 billion ($50 billion) in 2021/22, an increase of 80%.
CPI’s sector breakdown put clean energy at 51% of mitigation finance, or INR 3,386 billion ($41.4 billion). Energy efficiency accounted for 31%, while clean transportation made up 18%.
Domestic sources contributed INR 5,905 billion ($72.4 billion), or 88% of the tracked mitigation total. Private actors supplied 68% of those domestic flows, led by commercial financial institutions. The report said public sector undertakings and government budget spending were the main drivers of domestic public finance. The 68% figure applies to domestic flows, not to the full mitigation total.
CPI said project development, feasibility checks, risk review and investment-ready project pipelines could help make opportunities in emerging sectors and technologies easier to finance.
The report separately put adaptation finance at an annual average of INR 1,510 billion ($18.5 billion) across FY2022-23 and FY2023-24. CPI said its adaptation coverage is limited and captures only part of private adaptation finance.
