SBI Secures $165 Million World Bank Line of Credit for Rooftop Solar Projects

22 Dec 2023 , 03:04 PM

State Bank of India (SBI), the country’s largest lender, is set to sign a $165 million Line of Credit (LoC) with the World Bank in Delhi to support grid-connected rooftop solar photovoltaic projects in residential and institutional sectors.

In September, SBI announced plans to make rooftop solar installations mandatory for residential projects funded from the bank’s long-term climate action funds sourced from multilateral agencies.

The bank has outstanding forex loans of $2.3 billion from various multilateral agencies, including the World Bank, the Asian Development Bank, and Germany’s KfW.

SBI aims to enforce mandatory rooftop solar installations for builders funded through its green funds, making it a bundled deal for home loan applicants in the future, according to Ashwini Kumar Tewari, Managing Director at SBI.

Tewari also mentioned SBI’s increased focus on green initiatives, expanding exposure to projects such as funding green buildings, battery recycling, and solar rooftop plans.

On December 21, SBI announced signing a Rs 1,800 crore LoC with the European Investment Bank (EIB) to support climate action projects in India. Earlier, on December 14, the bank signed a Rs 630 crore LoC with the German Development Bank KfW to promote solar projects in the country.

In the September quarter, SBI reported a 9.13 % growth in consolidated net profit, reaching Rs 16,099.58 crore compared to Rs 14,752 crore in the same period the previous year.

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