World Bank Gives India $1 Billion Loan for Solar Mission

The World Bank has announced to give a loan of $1 billion to India in support of country’s ambitious solar generation plans.

This is World Bank’s largest financing to date of solar projects for any country in the world. The World Bank signed agreement to give about $625 million for the Grid Connected Rooftop Solar Programme. The development of a $200-million shared infrastructure for the Solar Parks Project is also under preparation.

The World Bank also signed an agreement with International Solar Alliance, a group of 121 countries led by India, to encourage usage of solar power across the world and to invest $1 Trillion in this sector by 2030. Union Finance Minister Arun Jaitley, Power Minister Piyush Goel and World Bank’s Chief Jim Yong Kim were present on this occasion.

ISA was launched by Prime Minister Narendra Modi and French President François Hollande last year in November at the UN Climate Change Conference in Paris.

Kim met PM Modi earlier on Thursday and said he is very impressed with the reform process being carried out by PM Modi in India.

“We are doing all we can to support Prime Minister Modi’s personal commitment to renewable energy, especially in scaling up solar energy,” Dr. Kim said at a media briefing.

“India’s plans to virtually triple the share of renewable energy by 2030 will both transform the country’s energy supply and have far-reaching global implications in the fight against climate change,” he said.

According to Kim, India is leading the world in implementing the promises made in Paris for COP21.

Dr. Kim calls himself a “big fan” of the Prime Minister Modi. He said Mr. Modi “always pushes us to move faster and faster – to keep pace with him” and this is the reason why he appreciates his meetings with Modi.

“The reason I’m such a big fan of Prime Minister Modi is because he does something that all great leaders should do, that is set ambitious targets, set deadlines for those targets and then hold your staff accountable for those targets…That is a tried and proved method of getting results”.

According to Kim, Prime Minister Modi, “understands the World Bank almost better than we do ourselves because he began making very specific demands on priority areas like Swachh Bharat and 24/7 power for all.”

Prime Minister Modi has expressed happiness at the World Bank’s continued support to India, especially in areas like Ganga Rejuvenation, Smart Cities, Skill Development, Power for All and Swachh Bharat.