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This deal will support the scaling and operation of a 300+ fleet of electric buses and associated charging infrastructure across five cities in the states of Chhattisgarh and Meghalaya.
| Company | GuarantCo |
| Sector | Transportation |
| Country | India |
| Total Project Cost | USD 17.3m |
| PIDG Commitment |
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| Dates of PIDG involvement |
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Buses are India’s predominant form of public transport, accounting for approximately 40 per cent of road-based travel demand, making India the third-largest bus market in the world. There is an addressable market of at least 800,000 buses to be replaced with electric buses, but the lack of long-term effective and efficient local currency financing and a fragmented industry means there are challenges to gain the necessary momentum to make this transition a reality. To support the transition, Government of India launched the flagship PM e-Bus Sewa scheme to deploy 10,000 electric buses across more than 100 cities, with the objective of promoting clean urban mobility, improving air quality and supporting sustainable infrastructure.
PIDG provided a partial credit guarantee for a loan facility from Axis Bank to Chartered Speed Limited to scale its 300+ electric bus fleet across five cities in the states of Chhattisgarh and Meghalaya under the PM-eBus Sewa scheme. This transaction forms part of the initial set of contracts awarded under the scheme. This transaction was a strong strategic fit for PIDG to help bridge the gap between demand and supply for e-mobility infrastructure finance, while playing a meaningful role in decarbonising the mobility sector and supporting India’s emission reduction targets.
This deal will support the scaling and operation of a 300+ fleet of electric buses and associated charging infrastructure across five cities in the states of Chhattisgarh and Meghalaya.
As a climate solution, this transaction supports the expansion of electric buses to reduce urban emissions and strengthen clean public transport systems.
This is the fourth deal completed under PIDG’s USD 200 million electric vehicle framework agreement with Axis Bank to finance the growth of India’s e-mobility ecosystem, with the intention of de-risking private lending and enabling participation of commercial capital in India’s rapidly growing electric mobility sector.
Designed as a replicable and scalable financing model, this transaction will pave the way for future electric bus investments under the PM e-Bus Sewa Scheme, mobilising greater private capital to meet India’s urban mobility needs through electric buses.
This project will improve the safety and accessibility of public transport for women across five Indian cities, with buses expected to feature ramps, panic buttons, and designated women‑only sections.
