Impact investment firm responsAbility and Pune based non-banking finance company Electronica Finance Limited (EFL) have entered into an agreement to issue green Masala Bonds for expanding EFL’s energy efficient machinery lending portfolios to small enterprises, that operate in carbon intensive manufacturing sector.
EFl has issued rupee-denominated senior secured bonds of USD 10 million. Zurich-based responsAbility manages assets worth USD 3billion to nearly 540 companies.
“India has committed to reduce the emissions intensity of its GDP by one third between 2005 and 2030. The Indian SME sector currently contributes 45% of the country’s total greenhouse gas emissions from the manufacturing industries and is widely suffering from obsolete technology and lack of funding.
All of this results in considerable potential for greenhouse gas mitigation”, both the firms said in a joint press statement. Read More