World Bank-Backed IFC Commits $20 Million Investment In EV Firm Transvolt Mobility

IFC, a member of the World Bank Group, on Friday said it is providing $20 million (about Rs 170 crore) equity investment to Transvolt Mobility Pvt. to scale up electric vehicles (EVs) production.

IFC's $20 million investment to Transvolt is a part of the company's $50 million financing round, the World Bank arm that provides funds for private sector development in emerging markets said in a statement.

"This is IFC's first equity investment in an EV platform in India and globally. It will enable Transvolt to scale its electric fleet portfolio to 3,500 vehicles and create 8,200 jobs in the next five years. It will also support the company's long-term goal of deploying 8,000 heavy commercial EVs such as buses and trucks across India," it said.

"Transvolt has been a key partner of IFC, and through our collaboration, we aim to enhance market competitiveness in the sector by enabling the electrification of public and private fleets operated by municipalities and corporations, demonstrating the commercial viability of electric fleets, and expanding access to quality urban transport," IFC's Regional Industry Director (Infrastructure & Natural Resources) Asia-Pacific Vikram Kumar said.

With IFC's support, the company aims to accelerate the transition to sustainable transport and build inclusive solutions that are aligned with national and global sustainability goals, Transvolt Mobility director and co-founder Dheeraj Jhawar said.

India's ambitious push toward clean mobility aims to electrify 800,000 buses, replace 10% of diesel trucks with 400,000 electric trucks, and achieve 18% electrification of small commercial vehicles (SCVs) by deploying 111,000 e-SCVs.

This transition presents an opportunity to invest in scalable EV solutions across public and private fleets and mobilise an estimated $200 billion to meet the country's targets, it said.

With 500 heavy commercial EVs already deployed since its inception in FY23, Transvolt has established a strong presence across various business segments like municipal corporations, corporate employee transportation, and haulage for leading cement manufacturers.