“Renewable energy is expensive” is one of the most popular arguments opposing greater dissemination of renewable energy sources. Providing a product that comes with an installment based payment in line with the cash flows of the rural household, plays an important role in uptake of small scale renewable energy systems, overcoming the burden of putting down a large one-time payment. Risk perceptions, cost of finance (from Banks, MFIs, local financial institutions) and collateral requirements may become prohibitive factors for end users to access credit. The use and adoption of innovative financing mechanisms that reduce the risk of bankers, increasing access to loans, improve credit conditions for entrepreneurs etc. are essential in bolstering the financing link.
FINANCIAL INCLUSION PROJECTS