IFC partners with Sify to support expansion of data centers and strengthen digital economy through sustainability linked loan

New Delhi, June 18, 2026 - IFC today announced a partnership with Sify Infinit Spaces Limited (SISL), a wholly owned subsidiary of Sify Technologies Limited, to promote the development of AI ready, energy-efficient data center infrastructure in India. The sustainability-linked investment will support SISL, a leading Indian data center operator, in developing two next-generation data centers in Navi Mumbai and Chennai with a combined capacity of 103 MW specifically built for AI ready workloads while bringing in jobs to add a multiplier effect to the local economy.

Designed in line with Indian Green Building Council (IGBC) Platinum rating specifications, the facilities will expand access to secure, reliable, and energy-efficient digital infrastructure services for businesses including banking, media, and e-commerce, support the country's growing demand for cloud computing, artificial intelligence (AI), and mobilize long-term private capital into critical digital infrastructure.

Why it matters

India is one of the world's fastest-growing digital economies, with 20% of global data consumption, more than 1.2 billion mobile subscribers and over 1 billion internet users. Rapid growth in cloud adoption, AI applications, digital commerce, financial services, and 5G connectivity is driving unprecedented demand for data center capacity. Expanding modern, resilient, and sustainable digital infrastructure is essential to support productivity, innovation, and competitiveness. The project will support the construction of AI ready digital infrastructure that in contrast to traditional data centers incorporate advanced energy-efficient cooling systems, and the use of renewable energy for operations, thus setting a higher standard for sustainability in the industry.

The investment is aligned with the World Bank Group's Country Partnership Framework for India which focuses on building resilient infrastructure, boosting productivity. The partnership also complements broader World Bank Group efforts to support India's digital transformation. IFC's financing and mobilization of commercial capital are being coordinated with World Bank's engagement across states to support digital and AI ecosystem development, knowledge sharing, and capacity building. The investment supports climate mitigation through financing greenfield data centers (DCs) that will meet best international practices for energy efficiency by being IGBC Platinum rated.

The details

Total financial package: INR equivalent of $371 million.

IFC's direct investment: $71 million loan equivalent to INR 675 crores

IFC's support through debt mobilization: Additionally, IFC is working with SISL to mobilize up to INR equivalent of $300 million to support the company's growth and expansion in India.

By the numbers

· India's active internet user base surpassed 1 billion in 2025, mobile broadband subscribers crossed one billion, and 5G penetration is projected to reach 74% by 2030, all underpinning sustained demand for DC infrastructure investment.

· If estimates pointing to significant growth in DC growth from 1,500 MW currently to up to 9,000 MW by 2030 are realized, the DC sector's share of India's total power consumption is expected to increase from below 1% currently to around 3% by 2030.

· AI could contribute up to $500 billion to India's economy by 2030, driving demand for cloud, data center, allied network and digital infrastructure investments.

What they're saying

"India's digital transformation requires infrastructure that is equally scalable, resilient, and sustainable. Through this investment, IFC is helping strengthen and build out the country's digital ecosystem, support the growing demand for cloud and AI services and boost digital inclusion. By partnering with Sify, an industry leader in deploying cutting-edge, energy-efficient data center infrastructure, with commitment in governance and sustainability framework, we aim to advance digital innovation, infrastructure development, and crowd-in long-term private capital in a critical growth area.

- Vikram Kumar, Regional Industry Director, Infrastructure and Natural Resources in Asia and the Pacific, IFC

"The partnership with IFC represents another significant milestone in Sify's journey to become India's leading digital infrastructure company. The confidence reposed in us by a globally respected institution such as IFC is a strong endorsement of our vision, execution capabilities, and long-term growth strategy. With IFC as our partner, we gain not only access to capital but also a powerful vote of confidence that strengthens our position in the market and supports our ambitious expansion plans. We sincerely thank IFC for their faith in our journey and look forward to continuing our mission of building the digital infrastructure that will power India's next phase of economic growth."

- Ganesh Sankararaman, Chief Financial Officer, Sify Infinit Spaces Limited.

The backdrop

Demand-supply gap: India accounts for a disproportionate share of global data generation relative to its installed data center capacity, underscoring the need for significant new infrastructure investment.

Strong growth outlook: Rising cloud adoption, AI workloads, digital services, and 5G connectivity are expected to drive a four-to-six-fold expansion of India's data center market by 2030.

Sustainable growth imperative: As data center power demand increases, energy efficiency and renewable energy integration will be critical to the sector's long-term sustainability.

The bottom line

As India continues to digitalize its economy and expand AI capabilities, data centers are becoming foundational infrastructure that supports businesses, public services, innovation, and economic growth.

By financing energy-efficient data centers for Sify, IFC is helping expand the digital infrastructure underpinning India's economy and future AI ecosystem while advancing sustainability goals. The investment will expand access to cloud and AI-ready infrastructure, mobilize private capital into a strategic sector, support thousands of jobs, and contribute to a more productive, competitive, and resilient economy.