Union Environment Minister Bhupender Yadav emphasized the crucial role of green financing in promoting sustainable economic growth and addressing climate change during his address on September 11, 2025. Speaking at the 4th edition of FICCI’s LEADS, themed “Collaborations for Growth in a Transformative World,” he underscored the necessity for governments, industries, regulators, financial institutions, and citizens to work collaboratively. He stressed that development should not come at the expense of the environment.
Minister Yadav pointed out that industrialisation over the last two centuries has contributed to environmental degradation, with rising global temperatures serving as a warning of unsustainable growth. “India has a dual responsibility, meeting the aspirations of a young population while protecting the planet,” he said, underlining the role of green finance in integrating economic returns with ecological sustainability.
Minister cited India’s sovereign green bonds and regulatory efforts by the Reserve Bank of India and SEBI as measures to build confidence in green investments. He also highlighted blended finance initiatives that leverage public funds to attract private investment in renewable energy, energy efficiency, electric mobility, waste-to-wealth projects, and nature-based solutions, vital for India’s net-zero target by 2070.
Yadav emphasised that financing mechanisms for the green transition must ensure inclusivity, benefiting MSMEs, farmers, and vulnerable communities. He also highlighted the role of innovation, noting that financial technology, digital platforms, and AI-led approaches can make green financing more efficient, transparent, and scalable. Instruments such as green bonds, sustainability-linked loans, carbon markets, and impact investment funds, he said, must move from the margins to the mainstream.
Yadav outlined three guiding principles for India’s climate action: climate finance is integral to development, clean power and resilient infrastructure are central to national security, and countries mobilising green investments today will dominate future global value chains. He also called for developed nations to step up support, noting that existing global climate finance targets fall short of the scale required.
Speaking on carbon finance, Yadav emphasized operationalising Article 6 of the Paris Agreement to create transparent carbon markets, enabling both finance and technology transfer. He also detailed Green Credit Programme, which encourages private participation in eco-restoration with measurable outcomes.
Concluding his address, Minister highlighted India’s strengths, a rapidly growing economy, expanding renewable energy sector, a skilled young workforce, and a vibrant start-up ecosystem and urged stakeholders to treat green financing as a moral responsibility to future generations.
