Mumbai, Mar 18th: BlackSoil Capital has raised a ₹200 crore (approx. US$22 million) debt funding from Impact Fund Denmark, the Danish development finance institution, to scale climate-aligned and inclusive lending across India’s MSME ecosystem, emerging corporates and financial institutions.
The facility will primarily support climate adaptation and mitigation initiatives, while expanding access to credit for low-income communities and underserved segments of the economy. A significant portion of the capital will be directed towards climate-aligned enterprises and financial institutions operating especially in Tier-2 and Tier-3 markets, with a focus on women-led businesses in structurally underserved sectors.
The funding will enable BlackSoil to increase its exposure to renewable energy adoption, climate-smart agriculture, sustainable supply chains, circular economy solutions, and inclusive finance models.
“This facility from Impact Fund Denmark reflects growing global confidence in India’s alternative credit ecosystem. It affirms BlackSoil’s ability to channel capital into high-impact sectors, reinforcing our position at the intersection of alternative credit, climate action and inclusive growth,” says Ankur Bansal, Managing Director, BlackSoil Capital. “There is a significant credit gap for climate-focused enterprises and inclusive lenders. This partnership strengthens our ability scale across domestic markets, support MSMEs and new-economy companies, and deploy capital aligned with India’s climate and inclusion priorities.”
Impact Fund Denmark invests in developing and emerging markets to promote green, just and inclusive societies. It provides capital to businesses aligned with measurable development outcomes and the UN Sustainable Development Goals.
“Green growth requires capital. With this investment, we are helping companies in India access the financing they need to grow and bring more green businesses to market,” says Lars Bo Bertram, CEO, Impact Fund Denmark.
The funding augments BlackSoil’s ability to channel institutional DFI capital into India’s underserved “missing middle” credit segment, businesses that are too large for microfinance yet inadequately served by traditional banks.
By combining BlackSoil’s sector-agnostic, cash-flow-based underwriting with Impact Fund Denmark’s global impact investing expertise, the collaboration is designed to accelerate climate-aligned financing, support the country’s low-carbon transition while advancing inclusive growth across India’s credit ecosystem.
