India to meet USD 3.1-trn investment target by 2030

The Indian government plans to meet the climate targets under the Paris agreement represents a USD 3.1-trillion investment opportunities by 2030, says an IFC report.

The sectors where this investment would come in include renewable energy, green buildings, transport infrastructure, electric vehicles, and climate-smart agriculture, according to a report by the International Finance Corporation (IFC), a member of the World Bank Group.

The analysis is part of a regional study that examines the climate-investment opportunities in Bangladesh, Bhutan, India, the Maldives, Nepal and Sri Lanka. These countries together represent 7.38 per cent of global carbon dioxide emissions, the report noted. "The only way that the South Asian countries can take advantage of these climate investment opportunities is with a strong and engaged private sector," IFC chief executive Philippe le Houérou said in the report.

"We also need to have a comprehensive approach to creating markets for climate business in key sectors. That means putting in place the necessary policy framework, promoting competition, and building capacities and skillsets to open new markets," he added. India, with a population of 1.3 billion, is the world's third-largest economy according to purchasing power parity, and with a large, young and growing labour force, the country is a significant market for the private sector, reports PTI.

IFC is strongly committed to supporting the private sector in the South Asia region. Since 2005, IFC has invested USD 2.6 billion of its own funds in long-term financing for climate-smart projects in South Asia and additionally mobilised almost USD 1 billion from other investors.