EIB Global Announces Over ₹5,200 Crore Investment to Accelerate India's Sustainable Development

The European Investment Bank's development arm, EIB Global, has announced a substantial financing package exceeding ₹5,200 crore to support India's sustainable infrastructure across clean water, urban mobility, and climate action sectors. The announcement, made during EIB Vice-President Nicola Beer's business visit to India in October 2025, reinforces the strategic partnership between the European Union and India in advancing sustainable development priorities.​

Metro Network Expansion for Sustainable Urban Transport

EIB Global has committed €289.5 million (approximately ₹3,040 crore) to strengthen sustainable urban transport systems through metro network expansions in Nagpur and Pune. The financing comprises a €240 million loan for the Nagpur Metro extension and a €49.5 million top-up loan for the Pune Metro, aimed at reducing congestion, pollution, and enhancing green mobility in both cities.​

The full commissioning of the Nagpur Metro extension is projected to reduce transport sector CO2 emissions by 22 percent. The Pune Metro network, which commenced operations in March 2022, has transported over 100 million passengers to date, providing safe and accessible green mobility options. These investments facilitate a modal shift to efficient public transport, improving daily commuting for millions of urban residents while supporting India's climate resilience targets.​

With this latest commitment, EIB financing in India's transport sector now exceeds €3.6 billion, making India the largest recipient of EIB transport financing outside the European Union. The EIB's portfolio in India since 2016 includes major metro projects in Bangalore, Bhopal, Kanpur, Lucknow, and Agra.​

Water Infrastructure Modernization in Uttarakhand

EIB Global has extended a $191 million (approximately ₹1,695 crore) loan to expand and modernize water supply and sanitation services in Uttarakhand. The project will benefit approximately 900,000 residents, including underserved and economically disadvantaged households, by providing new connections, reliable clean water supply, sanitation facilities, reduced leakage, and improved monitoring systems.​

The water and sanitation initiative aligns with India's National Infrastructure Pipeline and flagship programmes including the Jal Jeevan Mission and Atal Mission for Rejuvenation and Urban Transformation (AMRUT). The project contributes to multiple United Nations Sustainable Development Goals, including SDG 6 (Clean Water and Sanitation), SDG 11 (Sustainable Cities and Communities), SDG 13 (Climate Action), and SDG 5 (Gender Equality).​

Investment in India's First Domestic Energy Transition Fund

EIB Global has committed up to $60 million (approximately ₹530 crore) to the India Energy Transition Fund, marking a pioneering investment in the country's first energy transition fund managed by a domestic fund manager. The fund, managed by EAAA Alternatives, the domestic fund manager of the India Energy Transition Fund, has a target size of $300 million and will channel equity and quasi-equity investments into greenfield infrastructure projects and growth-stage companies.​

The fund will focus on renewable energy, energy efficiency, transmission, battery energy storage, electric vehicles, and circular economy sectors including recycling and wastewater management. The expected lifetime impact includes approximately 298 million tonnes of CO2 reduction and the creation of around 38 million job-years for India's workforce.​

Strategic Partnership Under EU Global Gateway

These financing announcements exemplify EIB Global's commitment to India's national development priorities while advancing the EU Global Gateway strategy. EIB Global aims to support €100 billion of investment by the end of 2027, representing approximately one-third of the overall target of the EU Global Gateway initiative.​

"These three new operations demonstrate the full strength and breadth of EIB Global's partnership with India, delivering real impact across clean water, sustainable transport and the green energy transition. By supporting state-of-the-art metro systems, modernising vital water infrastructure and leveraging new private capital for climate action, we are helping India build resilient, healthy and connected communities for the future. These investments show how Team Europe and the EU Global Gateway strategy are joining forces with Indian partners to unlock sustainable growth, tackle climate change, and improve daily life for millions of people," said EIB Vice-President Nicola Beer.​

Strengthening EU-India Development Cooperation

The financing package was announced at high-level meetings in New Delhi in the presence of EIB Vice-President Nicola Beer and senior Indian government officials. During her visit, Vice-President Beer engaged with government stakeholders, private sector leaders, and financial partners to promote innovative financing solutions that support India's green transition, economic growth, and development objectives aligned with the EU Global Gateway strategy.​

India represents one of Europe's most important partners in the global green transition. The EIB has been India's active multilateral financing partner, with a portfolio exceeding €3.6 billion in approved loans since 2016, primarily focused on urban mobility, renewable energy, and climate-friendly infrastructure. The investments align with India's target of achieving 500 GW of non-fossil fuel capacity by 2030 as part of the country's commitments under the Paris Agreement.