Mufin Green Finance, a subsidiary of Hindon Mercantile Limited, stands at the forefront of India’s climate financing revolution. The company is committed to accelerating the country’s transition to clean technologies while fostering financial inclusion. Its unique approach focuses on empowering underserved communities by providing income-generating loans specifically targeted towards the electric vehicle (EV) ecosystem, including Electric Vehicles, Charging Infrastructure, and Swappable Batteries.
Driven by the belief that climate sustainability is not just an activity but a guiding principle, Mufin Green Finance has disbursed over ₹350 crores to date, positively impacting India’s carbon footprint. Their efforts have resulted in not only environmental benefits but also socio-economic upliftment, contributing to women empowerment, increased income generation, and broader financial inclusivity.
With a highly process-driven approach, Mufin Green Finance’s mission is clear-to create equal financial opportunities for underserved segments through the adoption of clean technologies. The organization envisions an environmentally, economically, and socially transformed India, where sustainable practices go hand-in-hand with inclusive growth.
Backed by Hindon Mercantile Limited, a technology-driven non-government company, Mufin Green Finance benefits from the group’s robust financial foundation. Hindon Mercantile boasts an asset under management (AUM) of over ₹425 crores as of March 31, 2022, with a remarkable growth trajectory of 5x year on year.
In essence, Mufin Green Finance exemplifies how climate action and social responsibility can converge to create a healthier planet and a wealthier, more inclusive society.
In a recent interview, Rashmi interacted with Dhiraj Agrawal, CBO at Mufin Green Finance, in which he discussed about EV Financing, Sustainable Energy, Renewable Energy Financing, Green Mobility, Digital Lending Platform, Strategic Partnerships etc.
1. Mufin Green has been actively financing various EV segments. How do you plan to further strengthen these financing solutions?
Mufin Green Finance is committed to enhancing EV financing accessibility and efficiency. We are expanding strategic partnerships with OEMs, fleet operators, and dealerships. Our focus includes digitizing loan processes for expedited approvals and broader reach, ensuring a seamless customer experience. We are also introducing customized financing solutions and bundled services with insurance providers to cater to diverse EV segments: two-wheelers, three-wheelers, and commercial fleets. Furthermore, we are strengthening our national presence and supporting charging infrastructure financing to eliminate financial barriers within the EV ecosystem.
2. Beyond EV financing, Mufin Green is expanding into solar financing. What opportunities do you see in the renewable energy value chain?
We recognize the significant potential of solar financing in driving India’s clean energy transition. By providing tailored financial solutions for residential, commercial, and industrial solar projects, we aim to enhance accessibility and cost-effectiveness. With India’s ambitious target of 500 GW of renewable energy capacity by 2030, the demand for affordable financing is substantial. We are actively supporting solar rooftop installations, utility-scale solar farms, and distributed energy solutions, enabling businesses and individuals to reduce electricity costs and reliance on fossil fuels. We are committed to accelerating India’s green energy revolution through streamlined capital access.
3. Mufin Green has secured significant funding, including ₹140 crore in Series B equity and ₹530 crore in debt funding. How have these funds contributed to the company’s growth?
The ₹140 crore Series B equity and ₹530 crore debt funding have been pivotal in accelerating our expansion. These investments have enabled us to scale our EV financing portfolio, facilitating the transition to electric mobility. A significant portion of the funds has been allocated to technology development, enhancing our digital lending platform to improve customer experience and streamline loan approvals. We have also expanded into solar financing, strengthening our ecosystem partnerships. Furthermore, this financial backing has allowed us to develop a robust risk assessment framework, ensuring sustainable and responsible growth within the green finance sector. These strategic investments are driving India’s clean energy revolution.
4. Mufin Green received a $5 million investment from BlueOrchard for green energy initiatives. How is this funding being utilized to support sustainable projects?
The $5 million investment from BlueOrchard is driving our mission to expand sustainable energy financing, with a focus on EV adoption and renewable energy projects. These funds are enabling us to: offer affordable financing to EV buyers, support commercial fleet operators in transitioning to electric vehicles, fund charging infrastructure development, and finance solar energy projects, including rooftop installations and distributed energy systems. At Mufin Green Finance, we ensure strategic deployment of these funds to accelerate clean energy adoption and create a sustainable future for India.
5. With over 800 employees, Mufin Green has facilitated EV deployments worth ₹6,000 crore across India. What key factors have driven this large-scale impact?
Our large-scale impact in EV financing is driven by strategic partnerships, innovative financial products, and a robust digital lending platform. Collaborations with EV manufacturers, fleet operators, and charging infrastructure providers have created a supportive ecosystem. Our flexible and accessible financing solutions cater to diverse customer needs. Our data-driven risk assessment enables efficient scaling and financial sustainability. Expanding our national presence and investing in customer education have also been crucial.
6. The EV market in India is evolving rapidly. What challenges do you foresee in financing EV adoption, and how is Mufin Green addressing them?
EV financing faces challenges such as high upfront costs, limited charging infrastructure, and resale value uncertainty, particularly in rural areas. Mufin Green Finance is addressing these issues through: customized loan products with competitive interest rates and flexible repayment options, financing charging stations and battery-swapping networks, and developing advanced risk assessment models for EV resale value. By bridging financial gaps and supporting infrastructure growth, we are making EV adoption more practical and scalable.
7. Fast chargers and swappable batteries are crucial for EV adoption. How does Mufin Green plan to support infrastructure financing in these areas?
We understand that robust charging infrastructure and battery-swapping networks are critical for EV adoption. We are: financing charging station deployments and partnering with infrastructure providers, offering specialized loans for charging hubs and battery-swapping stations, and supporting fleet operators with financing for EVs using swappable battery technology. Our vision is to build a seamless EV ecosystem with comprehensive financial support.
8. Mufin Green started its journey in 2016. How has the company’s vision evolved, and what are your long-term goals?
Since 2016, Mufin Green Finance has evolved from a general financing company to a leader in green finance. Our strategic shift towards electric mobility and renewable energy financing has positioned us at the forefront of India’s sustainable finance revolution. Our long-term vision is to become India’s leading financial partner for green initiatives. We plan to: expand into clean energy financing, invest in emerging green technologies, strengthen digital lending platforms, and collaborate with global green investors. We aim to drive large-scale adoption of sustainable technologies.
9. How do you see government policies and incentives shaping the future of EV financing in India? Are there any regulatory challenges you face?
Government initiatives like FAME II subsidies, PLI for battery manufacturing, and PSL for EV financing are instrumental in driving green mobility. However, challenges persist, including high GST on EV components, inconsistent state-level policies, and resale value concerns. Regulatory clarity on battery-swapping frameworks and second-life battery usage is essential. We actively engage with policymakers to address these gaps and build a robust financing ecosystem.
10. What’s next for Mufin Green? Are there any upcoming strategic partnerships or expansion plans?
We are rapidly expanding our footprint in sustainable financing by strengthening partnerships with EV manufacturers, fleet operators, and charging infrastructure providers. We are scaling our solar financing solutions. Our focus is on expanding into new markets, enhancing digital financing solutions, and collaborating with global green investors. We are committed to supporting emerging clean energy technologies and building an integrated ecosystem for green mobility and renewable energy in India.