India aims to roll out 50,000 electric buses on its streets by 2027, facilitated by a joint finance mechanism with the US. At COP28, officials revealed a $390 million fund to guarantee loans for manufacturers expanding electric bus production.
With only 12,000 e-buses currently in operation, the payment security mechanism, funded with $150 million from the US and philanthropic groups and $240 million from India, is crucial for scaling up the financial system for electric mobility.
The initiative addresses previous challenges by mitigating risks for manufacturers seeking finance, fostering speed, scale, and impact in India’s decarbonization efforts, according to US climate envoy John Kerry.
