World Bank plans 100 million dollars credit guarantee scheme for solar rooftop projects in India

The World Bank has plans of introducing a scheme of 100 million dollars credit guarantee scheme. This will allow the micro, small, and medium enterprises (MSMEs) to take advantage of concessional debt financing to boost India’s rooftop solar programme by setting up rooftop solar units.

This World Bank scheme, together with the State Bank of India (SBI) and the MSME ministry is expected to help the MSMEs to access credit of around $1 billion. The World Bank and SBI are implementing a $ 648 million financing and technical assistance programme for solar rooftops. India has a 40 GW target of solar rooftop capacity planned of which it has added about 4 GW. These installations are a part of India’s renewable energy target of 175GW to reduce its carbon footprint by 33-35% from the 2005 levels.