Global solar sector attracts $7.5-bn corporate funding in March qtr: Mercom

Corporate funding in global solar sector, including India, saw a quarter-on-quarter growth of 51 per cent to USD 7.5 billion in the March quarter, according to Mercom Capital Group

Corporate funding in global solar sector, including India, saw a quarter-on-quarter growth of 51 per cent to USD 7.5 billion in the March quarter, according to global clean energy consulting firm Mercom Capital Group.

The financing activity was backed by robust demand for solar assets, it said on Tuesday.

Corporate funding includes venture capital and private equity, debt financing, and public market financing.

The total worldwide corporate funding in the solar sector in the January-March 2022 period stood at USD 7.5 billion, up 51 per cent from USD 5 billion raised in 2021 December quarter.

However, the funding was lower by 7 per cent on a year-on-year basis.

"Although financing activity was strong quarter-on-quarter with robust demand for solar assets, significant headwinds are building up that can slow the momentum considerably. Continuing supply chain issues, higher inflation, and the interest rate trajectory going forward are already major concerns," Mercom Capital Group CEO Raj Prabhu said.