State Bank of India (SBI) has entered into a EUR 100 million Line of Credit agreement with Agence Francaise de Developpement (AFD) at its GIFT City branch.
According to an official statement from SBI, the funds raised through this partnership will be used for Climate Mitigation Actions, aimed at reducing greenhouse gas emissions to combat global warming, as well as Climate Adaptation Measures designed to adjust systems, practices, and infrastructure to minimize damage from the effects of climate change.
This collaboration marks a significant step towards SBI’s goal of achieving a green portfolio, targeting 7.5-10% of its domestic gross advances by 2030. It will also provide the bank with the ability to offer competitive financing solutions to further bolster India’s green transition, the statement added.
The partnership enables SBI to tap into AFD’s expertise in climate finance and aligns with global sustainability standards. It includes support for innovative green technologies, project structuring, and the integration of Environmental, Social, and Governance (ESG) criteria to ensure measurable environmental and social benefits.
An SBI Senior Official commented, “The Bank has been raising Lines of Credit from Multilateral Development Banks (MDBs) and Development Finance Institutions (DFIs), deploying these funds to support specific green and sustainable initiatives.”
He further added, “Through this collaboration with AFD, we are advancing our green finance roadmap and facilitating impactful climate solutions across India. This partnership reinforces our strong commitment to sustainability and aligns with the vision of a Viksit Bharat by 2047.”
