Green financing-focused NBFC Ecofy has raised ₹380.5 crore (approximately $42 million) in an equity funding round led by British International Investment and Finland-based Finnfund, with participation from existing investors including FMO and Eversource Capital. The funding marks a significant step in strengthening the company’s position within India’s rapidly growing sustainable finance ecosystem.
The company plans to deploy the fresh capital to scale its green financing portfolio and expand its reach across underserved and high-growth segments. Its offerings currently cater to sectors such as rooftop solar installations, electric vehicles, and sustainable solutions for small and medium enterprises. Ecofy is also expected to invest further in technology and data-driven underwriting to improve credit access and efficiency.
Founded in 2023 by Rajashree Nambiar and Govind Sankaranarayanan, Ecofy provides loans to individuals as well as businesses for electric two- and three-wheelers, commercial and industrial solar solutions, energy-efficient equipment, and supply chain financing. Its ticket sizes range from ₹1 lakh to ₹1.5 crore, with flexible repayment tenures spanning six months to five years, making it accessible to a wide range of customers.
The Mumbai-based company has witnessed strong early traction, having served over 1.25 lakh customers and managing assets worth around ₹1,400 crore. It has built a robust ecosystem through partnerships with more than 23 banks and financial institutions, along with over 100 OEMs, enabling a strong co-lending and distribution network across the country.
Highlighting the company’s growth strategy, cofounder Rajashree Nambiar said, “Over the last three years, we have created a technology-led, retail-focused green finance platform with strong unit economics, disciplined risk management, and scalable impact.” She added that the new funding will support expansion of distribution channels, deeper market penetration, and continued strengthening of its lending franchise while maintaining sustainable returns.
The latest investment underscores rising investor confidence in climate-focused financial platforms, especially as India accelerates its transition toward clean energy and sustainable infrastructure. With increasing policy support and consumer adoption of green technologies, Ecofy is positioning itself as a key enabler in financing the country’s sustainability journey.
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