India: L&T- Sustainable Infrastructure on-lending Facility

approved

The facility will be used by L&T Infrastructure Finance Limited (LTIF) to finance mid and large scale solar and wind power projects in India. LTIF, a non-bank financial company classified as Infrastructure Finance Company by Reserve Bank of India, is the leading arranger and financier of renewable energy in India. LTIF is a subsidiary of L&T Financial Holdings, which, in turn, is majority owned by the Larsen & Toubro, one of the leading engineering and construction firms in India. By combining the strengths of Larsen & Toubro's engineering experience and LTIF's underwriting and origination skills with AIIB's guidance on environment and social standards, the facility promotes environmentally and socially and financially responsible project development. The proposed financing supports AIIB's Sustainable Energy for Asia Strategy and Strategy on Mobilizing Private Capital for Infrastructure. The project is aligned with the Government of India's plans to reduce India's carbon intensity by 30%-35% of 2005 levels under the Paris Agreement.