IFC Invests $20M in Transvolt to Boost India’s Electric Vehicle Revolution

In a strategic move to bolster India’s shift toward sustainable mobility, the International Finance Corporation (IFC) has announced a $20 million equity investment in Transvolt Mobility Private Limited, an emerging leader in the country’s electric vehicle (EV) sector. This investment, part of a larger $50 million funding round, marks IFC’s first-ever equity investment in an electric mobility platform—not only in India, but globally.

The infusion of capital aims to expand Transvolt’s electric fleet, enhance urban transport access, and reinforce India’s EV manufacturing ecosystem, while catalyzing long-term sustainability and job creation.

IFC’s Strategic Backing of Green Transport

IFC’s investment positions Transvolt as a critical player in India’s national strategy to decarbonize transportation. According to Vikram Kumar, IFC’s Regional Industry Director for Infrastructure and Natural Resources in Asia and the Pacific:

“India’s transition to sustainable transport hinges on scalable solutions, and this investment leverages private sector innovation and technological advances. Transvolt has been a key partner of IFC. Through our collaboration, we aim to electrify public and private fleets and expand access to quality urban transport while demonstrating commercial viability.”

Imad N. Fakhoury, IFC’s Regional Director for South Asia, emphasized the broader development impact:

“Accelerating urban mobility and last-mile connectivity is critical to India’s development goals. Our investment will drive the adoption of EVs, especially buses, which remain the most accessible mode of public transport. As IFC’s first global equity stake in an EV platform, this move affirms our commitment to India’s clean mobility roadmap.”

Transvolt Mobility: A Scalable and Inclusive EV Platform

Launched in FY 2023, Transvolt Mobility has quickly emerged as India’s first integrated, OEM-agnostic commercial EV platform. Unlike conventional models that focus on manufacturing or fleet services alone, Transvolt operates a vertically integrated platform that owns and operates electric buses and trucks for government municipalities, corporate employee transport, and industrial logistics.

To date, Transvolt has deployed 500 heavy commercial EVs, establishing operations with major cement manufacturers, urban local bodies, and corporate transport providers. The company’s mission is to offer zero-emission, high-efficiency mobility solutions that cater to India's rising demand for sustainable urban logistics and transport.

According to Dheeraj Jhawar, Director and Co-founder of Transvolt:

“We are honoured by IFC’s trust in our vision. This investment reinforces our commitment to building a scalable, sustainable EV fleet and accelerating India’s green transport goals. Our goal is to bridge the gap between sustainability and accessibility for India’s mobility sector.”

Debasis Mohanty, CEO and Co-founder, added:

“Transvolt is pioneering integrated EV operations in India, serving both public and private clients. With a focus on buses and trucks, we are aligning our platform with global zero-emission benchmarks.”

Ambitious National Targets for Electrification

India’s EV policy landscape has grown increasingly ambitious. The government aims to:

• Electrify 800,000 buses nationwide.

• Replace 10% of diesel trucks with 400,000 electric trucks.

• Achieve 18% electrification of Small Commercial Vehicles (SCVs) by deploying over 111,000 e-SCVs.

These transitions are expected to mobilize an estimated $200 billion in investments and create substantial demand for companies offering scalable EV platforms.

Transvolt’s business model fits directly into this trajectory. With IFC’s backing, the company plans to scale its fleet to 3,500 vehicles and generate over 8,200 new jobs within five years. Over the long term, the firm targets deployment of 8,000 heavy-duty electric vehicles, including trucks and buses, across India.

Driving Urban Transformation and Economic Growth

The collaboration between IFC and Transvolt highlights how private sector-led innovation can support the World Bank Group’s broader urban development goals. The investment is also expected to:

• Improve urban mobility infrastructure.

• Reduce transport-related carbon emissions.

• Spur technological innovation in India’s EV sector.

• Promote inclusive job creation, especially in logistics and public transport sectors.

By focusing on heavy-duty transport—a segment typically underserved in EV transitions—Transvolt is uniquely positioned to make a systemic impact on both climate action and inclusive economic development.

The Road Ahead

As Transvolt scales operations and expands its commercial EV footprint, the IFC’s investment will serve as a catalyst for broader sectoral transformation. With public and private fleets increasingly seeking clean alternatives, Transvolt is expected to play a key role in building the foundation for a zero-emission, sustainable transport network in India.

The partnership sets a precedent for global climate financing in emerging markets and offers a replicable model for other nations seeking to decarbonize their transport sectors through scalable, inclusive solutions.