30% for EV, 30% for Solar

ADB has invested US$25 million in Vivriti Capital's first climate bond for renewable energy and EV infrastructure. Smitha Jain Arora, Head Sustainability & Impact, lays the road ahead:

- Ravi Lalwani

Ravi Lalwani: What segments of energy producers and energy consumers does the company expect to generate business from for the funds from ADB?

Smitha Jain Arora: In alignment with the commitment to sustainable development, the proceeds from the green bond issuance are being utilized solely to finance climate projects in the electric vehicle, solar energy, wind energy and waste management segments in India. The funds allocated to suitable loans ensure that each project complies with applicable laws and sustainability criteria. At least 30% of the funds are directed towards projects in the electric vehicle sector, which includes financing for individuals purchasing new electric vehicles. Up to 30% of the funds are allocated to solar energy projects, supporting renewable energy development.

Additionally, the funds are allocated strictly to the specified sectors, aligning with the green bond's purpose and will not be used for investments in real estate, land purchases, or capital markets (except for eligible projects).