World Bank's Investment Arm Aims to Double India Portfolio to $10 Billion Annually by 2030

International Finance Corporation to Scale Up Investments in India to $10 Billion by 2030

The International Finance Corporation (IFC), the private-sector arm of the World Bank Group, plans to increase its annual investments in India to $10 billion by 2030. This move comes as the organization seeks to capitalize on opportunities in sectors such as renewable energy, urban infrastructure, and financial services.

According to Imad Fakhoury, the IFC's South Asia regional director, the organization's annual investments in India have grown significantly over the past few years. In 2024/2025, the IFC invested approximately $5.4 billion in India, up from $1.3 billion in the financial year 2021/2022. Despite the uncertainty surrounding the current economic landscape, the IFC remains committed to its investment strategy in India.

India is the IFC's largest investment destination globally, with a portfolio of approximately $10.3 billion as of the financial year ended June 2025. This portfolio comprises a mix of equity and debt investments across various sectors, including banking and housing finance, manufacturing, and climate-linked businesses. The IFC has invested in companies such as Manappuram Finance, Federal Bank, and PNB Housing Finance in the financial services sector, as well as TVS Emerald in real estate and agribusiness platforms like Leap Agri Silos.

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Equity investments make up more than a third of the IFC's India portfolio. In addition to direct investments, the IFC is also in talks with Indian states and urban local bodies to invest in municipal bonds. Municipal bonds are debt securities issued by local governments or municipalities to raise funds for public infrastructure projects such as roads and water supply.

The IFC has committed to financing $60 million for water and wastewater projects in the southern port city of Visakhapatnam in September 2025, marking its first direct lending to an Indian city. This move is expected to pave the way for the development of municipal commercial bonds in India, which are currently underdeveloped as a market.

Note: The table above highlights the growth in the IFC's annual investments in India and its portfolio over the past few years.

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