With extreme weather events like floods, cyclones, landslides, heatwaves and droughts posing threat to human lives and hampering development, India’s climate change mitigation efforts have been greatly supported by international agencies towards ensuring universal access to basic amenities, bridging the infrastructure gap and meeting the growing demand for energy.
Agence Française de Développement (AFD), the French international financial institution, has been supporting India in implementing a resilient, inclusive, and low-carbon development pathway that aligns with international climate priorities since 2008. In last 17 years, the AFD has invested 4.5 billion Euros in India supporting agriculture, disaster risk management, biodiversity, education, health, energy transition, urban development, sanitation and microfinance.
The AFD finances and supports the public sector in the country through loans and grants while Proparco, its subsidiary, finances the private sector through project financing and equity. Expertise France, the technical wing of the group designs and supports technical projects.
According to AFD, 83 per cent of the projects contribute to the fight against climate change, while 63 pc of the projects support gender equality. The projects aim to provide access to clean water to one million people, ensure improved urban mobility for 2.8 million people and add 80,000 hectares of natural forest. The projects will help empowerment of 5,70,000 women through microfinance loans.
Setting an ambitious goal of achieving carbon neutrality in 2070, India is investing heavily in renewable energy, which already accounts for 45 pc of the country’s installed power capacity. AFD is supporting India’s energy transition by directly financing hydro electric projects in Himachal Pradesh and partnering with the Indian Renewable Energy Development Agency and the SBI to fund projects developed by private operators in renewable energy and electric mobility sectors.
More than half of AFD’s portfolio in India is dedicated to financing sustainable urban development, supporting the creation of inclusive, livable, and low-carbon cities. Among its flagship initiatives, AFD is funding metro lines in six Indian cities — Bangalore, Kochi, Nagpur, Pune, Surat, and Ahmedabad — four of which are already operational. It is also working to promote the sustainable management of water resources and to improve access to water and sanitation services and collaborating with the cities of Chandigarh, Jodhpur, and Pondicherry, as well as five secondary cities in Himachal Pradesh.
In partnership with the European Union, AFD supports the City Investments to Innovate, Integrate and Sustain programme, funding 11 pilot projects across Indian cities in sectors such as urban mobility, public spaces, housing and governance, The programme also focuses on solid waste management and will provide funding and technical support to 18 cities.
Since 2012, the AFD has been supporting Assam by financing afforestation, biodiversity protection and community livelihood. In Rajasthan, the agency is supporting the Forestry and Biodiversity conservation project in 13 districts. The project aims to improve the overall ecological balance by supporting the protection of endemic species and restoration of endangered plant species. The goals include biodiversity conservation measures in the protected forest areas and empowering the Forest Department to implement sustainable and climate responsive forest management and wildlife conservation. Once completed the project will ensure reforestation on 72,000 hectare land, improvement in soil moisture and ground water level, creation of wildlife corridors and improve climate resilience.
The AFD supports the efforts of the states of Kerala and Himachal Pradesh to strengthen the resilience of their territories by supporting urban planning that integrates flood risks, the establishment of early warning systems, the reinforcement of road infrastructure to prevent landslides, better coordination for upstream preparation, and improved emergency response to disasters.
The AFD is also in talks with the governments of Bangladesh and West Bengal for conservation and reinforcement of the fragile ecosystem of Sundarbans. In Maharashtra, Sahyadri Farms, a farmer collective supported by Proparco, has managed to build a network of 24,000 smallholder farmers and become the country’s largest exporter of fresh grapes and other crops.
“India is home to some of the most extraordinary natural riches on the planet. Three of the world’s thirty-six biodiversity hotspots, including Western Ghats and the Himalayas, are located in this country. Although the country has a solid legislative framework for conservation, this unique natural heritage is under severe pressure from human activity, compounded by the effects of climate change, which are weakening ecosystems and disrupting natural cycles. We are supporting the country’s efforts for conservation and mitigating the adverse effects of climate change,” said a top official of AFD.
