GuarantCo is providing a partial credit guarantee for a loan facility provided by Axis Bank to Indian electric bus operator Chartered Speed.  

The facility will support the operation of a 300-plus fleet of electric buses and associated charging infrastructure across five cities in the states of Chhattisgarh and Meghalaya. 

GuarantCo is expected to issue 66.66% credit guarantees denominated in Indian rupees, equivalent to US$17.3 million, to support Chartered Speed’s US$26 million debt raise. The total debt funding comprises five separate loan facilities with a tenor of just under 10 years, aligned with the project concession terms. 

This is the fourth deal completed under GuarantCo’s US$200 million electric vehicle framework agreement with Axis Bank to finance the growth of India’s e-mobility ecosystem, with the intention of de-risking private lending and enabling participation of commercial capital in India’s rapidly growing electric mobility sector. 

The transaction delivers sustainable development impact on two fronts. As a climate solution, it supports the expansion of electric buses to reduce urban emissions and strengthen clean public transport systems. It also applies a strong gender and inclusion lens by improving the safety and accessibility of public transport for women across the five cities, with buses expected to feature ramps, panic buttons, and designated women‑only sections. 

Chartered Speed was selected through a competitive bidding process conducted by Convergence Energy Services, a green energy-focused venture owned by India’s Ministry of Power and Ministry of New and Renewable Energy.

The contract has been awarded under the Indian government’s PM-eBus Sewa scheme to support the deployment of 10,000 electric buses across more than 100 cities, promote clean urban mobility, improve air quality, and support sustainable infrastructure. 

Buses are India’s predominant form of public transport, accounting for approximately 40% of road-based travel demand, making India the world’s third-largest bus market.

The deal aligns with United Nations’ Sustainable Development Goals 11 ( sustainable cities and communities ) and 13 ( climate action ).