Ecofy Finance Private Limited is growing fast in India’s green finance sector. The RBI-registered NBFC, started in 2022, is known as India’s first climate-focused lending platform that only finances eco-friendly products and projects.
The company was founded by Rajashree Nambiar and Govind Sankaranarayanan, who have years of experience in the financial sector. Ecofy was first backed by Eversource Capital through its Green Growth Equity Fund. In just three years, the company has expanded its presence across the country and is now serving more than 1.3 lakh customers in 26 states and over 500 cities.
Ecofy Focuses on EVs and Solar Financing
Ecofy mainly provides loans for green products and sustainable businesses. Its major focus areas include electric vehicles, rooftop solar systems, and green financing for small businesses.
The company offers loans for electric two-wheelers and three-wheelers, along with financing support for residential and commercial solar projects. It also helps MSMEs buy energy-efficient machines and equipment through green business loans.
The company has partnered with more than 120 OEMs and over 23 banks and financial institutions to expand its services. Recently, the company also launched Ecozaar, a marketplace where customers can explore and finance green products like EVs and solar solutions.
Fresh Funding to Support Expansion
Ecofy recently raised $15 million in debt funding from Mirova, the sustainable investment arm of Natixis Investment Managers. The company plans to use this money to increase financing for rooftop solar systems and electric mobility solutions in India.
Earlier, it also secured ₹380.5 crore in a Series B funding round led by British International Investment and Finnfund. Existing investors such as Eversource Capital and FMO also participated in the round. The fresh investment has strengthened the company’s financial position.
Revenue Jumps as Business Scales Up
Ecofy’s revenue from operations increased sharply to ₹93.3 crore in FY25 from ₹19.19 crore in FY24. However, the company is still spending heavily on expansion and reported losses of ₹42.28 crore during the year.
The company’s assets under management have crossed ₹1,400 crore. it says its green financing projects have helped reduce more than 25,000 tonnes of carbon emissions and supported clean energy generation across India.