Tag: renewable energy gap

Access to capital continues to be a challenge for solar in EMDE. Like the infrastructure sector, solar is capital intensive and has a long gestation period and generates spillover benefits which for various types of investors is not suitable. In addition, banks – key financiers in the EMDE – are structurally unwieldy for financing solar projects: They limit their long-term loans as their liability duration impedes them from lending to the sector for the long term.