Developing countries pay nearly twice as much as advanced economies to finance the same clean energy projects. CSE’s new paper highlights that this high cost of capital is less a reflection of real project risk than a structural feature of how the global financial system prices risk, often penalising the Global South
The paper examines factors influencing the cost of capital, particularly for clean energy technologies, and global factors like sovereign credit ratings, dollar dominance and global banking regulations that together pose a higher ‘borrowing floor’ for developing nations. Finally, through an India-focused expert survey with financiers and project developers, the paper highlights the dominant concerns shaping financing terms on the ground.
Join us for the virtual launch followed by a panel discussion.
For more details, please contact Sukanya Nair at sukanya.nair@cseindia.org, 8816818864.
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