Foreign Capital Validation: $11.8 Billion Investment Surge Reflects Global Confidence
India’s renewable sector attracted $11.8 billion in H1 2025, the second-highest on record, showing strong global faith in India’s policy-driven growth model. This is anchored by government reforms—reverse auctions, renewable purchase obligations, and green bond frameworks—that have created predictable investment conditions.
Utility-scale solar drew 77% of inflows, with equity typically covering 20–25% of project cost and debt syndicated through domestic and global banks. Investors secure 9–12% IRRs in rupee terms, with risks managed by currency hedging and multilateral guarantees.
European utilities and Japanese trading houses led the surge. “India offers unmatched scale and policy stability,” said a Tokyo-based fund manager. These flows follow India’s record 59 GW renewable auction aw...