Ecofy Raises ₹380 Crore to Expand Green Finance Business in India

Ecofy, a non-banking financial company focused on sustainable lending, has secured fresh equity funding of ₹380.5 crore to accelerate its expansion in India’s green finance space, as per PTI report. 

Funding Backed by Global Investors 

The investment round saw participation from global development finance institutions, including British International Investment from the UK and Finnfund’s Digital Access Impact Fund I, marking their entry as new investors in the company. 

Existing investor Eversource Capital also continued its support in this round. The funding reflects rising international confidence in Ecofy’s retail-oriented green financing approach and its ability to scale in emerging sustainable sectors. 

Expansion Across Green Lending Segments 

The newly raised capital will be deployed to grow Ecofy’s presence across key segments such as rooftop solar, electric vehicle financing, and lending to small and medium enterprises.  

This planned deployment is aimed at scaling its reach in sustainable financing while addressing rising demand across these priority sectors. 

This expansion is supported by a strengthened balance sheet, experienced management, and structured governance systems.  

Following the fund infusion, the company’s capital adequacy ratio is expected to improve to around 50%, enhancing its financial capacity for further growth and enabling it to pursue new opportunities with greater financial flexibility. 

Scale and Market Position 

Over a short span of 3 years, Ecofy has built a sizeable retail-focused platform in green finance, serving more than 1.2 lakh customers.  

Its portfolio spans solar solutions, electric mobility, and other sustainable asset categories, positioning it as a growing player in India’s clean financing ecosystem.  

This steady expansion reflects its focus on scaling accessible green lending solutions while strengthening its presence across key sustainable segments in the country.  

Read More: Fintech Startups in India Raise $2.4 Billion in CY25, Amid Cautious Investor Sentiment! 

Conclusion 

The capital infusion strengthens Ecofy’s ability to scale green financing across high-growth segments, aligning with increasing demand for sustainable solutions and expanding access to climate-focused funding in India. 

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