Through its recently approved BEACON INDIA Programme, the Green Climate Fund (GCF) has teamed with Tata Capital Limited (TCL), the Tata Group’s main financial services organisation, to help early-stage climate-tech start-ups throughout India. The initiative is being carried out in partnership with TREC-STEP, an organisation dedicated to fostering innovation and entrepreneurship, and the Small Industries Development Bank of India (SIDBI).

As part of this collaboration, the GCF will provide Tata Capital with a USD 15.85 million first-of-its-kind revolving facility and an extra USD 3 million grant to lower the cost of funding for start-ups with a climate emphasis. Because of the revolving structure, Tata Capital will reinvest the money that start-ups return from their loans to fund new projects, guaranteeing that the support will last for many years.

Additionally, as a sign of its strong commitment to developing India’s climate innovation ecosystem, Tata Capital will donate USD 47.6 million of its own capital. Through initiatives to mitigate and adapt to climate change, the initiative is anticipated to benefit almost 2.9 million people and cut more than 1.1 million tonnes of CO₂ emissions. Tata Capital has always been dedicated to green initiatives for a sustainable future, according to Rajiv Sabharwal, Managing Director & CEO, Tata Capital Limited. Another step in that direction is our partnership with the Green Climate Fund to fortify India’s climate innovation network. Our goal with this initiative is to assist up-and-coming business owners in scaling their green technology and improving people’s lives and the environment in quantifiable ways.

This collaboration represents yet another significant turning point in Tata Capital’s development as a pioneer in green and climate finance. Tata Capital, which was the first private sector company in India to work with the GCF on rooftop solar financing in 2019, is now the first Indian organisation to work with the GCF on two different climate programmes. Tata Capital’s leadership and enduring dedication to promoting sustainable growth and aiding India’s shift to a low-carbon economy are reaffirmed by this accomplishment.