Iora Ecological Solutions, an Indian enterprise specialising in Nature-based Solutions (NbS) for climate action and ecosystem conservation, has secured Rs 8.5 crore (or $1 million) in debt funding from Caspian Impact Investments (Caspian Debt). Iora Ecological Solutions, an Indian enterprise specialising in Nature-based Solutions (NbS) for climate action and ecosystem conservation, has secured Rs 8.5 crore (or $1 million) in debt funding from Caspian Impact Investments (Caspian Debt). The company said the investment will be used to scale its flagship MegCare agroforestry and land restoration program in Meghalaya, which focuses on restoring degraded landscapes, improving forest cover, and enhancing rural livelihoods through sustainable agroforestry practices.
The debt deal, which it claims to be one of the first in India to be underwritten against future Carbon Removal Units (CRUs), was strategically facilitated by the Rabo Foundation and Rabobank’s ACORN platform, which promote climate-linked finance for smallholder agroforestry. The CRUs, or verifiable carbon credits generated through land restoration in the MegCare program, will be monetised in global carbon markets, enabling long-term value creation. MegCare (Meghalaya Carbon Agroforestry for Community Resilience and Ecosystems) is a 30-year-long community-led initiative promoting sustainable land use, biodiversity, and carbon sequestration. Implemented in partnership with the Meghalaya Basin Development Authority (MBDA), a state government agency, it also drives long-term socio-economic benefits for local communities and smallholder farmers. Spanning 1,50,000 hectares of land and targeting over 25 million tonnes of CO₂ sequestration, MegCare is poised to become India’s largest carbon removal program, the release notes. It will directly benefit 80,000 smallholder farmers across Meghalaya through a carbon finance model that links ecosystem restoration with sustainable income generation creating long-term livelihood opportunities and socio-economic upliftment in the region. “This investment by Caspian Debt to IORA, supported by Rabo Foundation, marks an important milestone for the MegCare program.
It will help build on the partnership between MBDA, IORA and Rabobank ACORN, and go a long way in contributing towards the State’s vision to restore the lands of Meghalaya’s communities and ensure they get the optimum value and returns for their efforts in climate action,” said Shri Sampath Kumar, IAS, Principal Secretary & Development Commissioner, Government of Meghalaya. “We are excited to operationalise a pioneering carbon-linked financing model that integrates nature-based solutions with measurable climate impact,” said Swapan Mehra, Founder and CEO of Iora Ecological Solutions.“This collaboration strengthens our partnership with the Government and communities of Meghalaya, and accelerates agroforestry initiatives that enhance carbon stocks, springshed health, and ecosystem resilience.” “This partnership reflects Caspian’s commitment to backing innovative, high-impact solutions that address climate and community needs,” said Sai Pramodh, Business Head at Caspian Debt. “IORA brings unmatched technical depth and execution ability, and with the guidance of Rabo Foundation, we are proud to enable a financing model that restores ecosystems while unlocking long-term value from carbon markets.” Looking ahead, Rabobank ACORN and the Government of Meghalaya are exploring innovative climate finance solutions to advance ecosystem restoration and improve rural livelihoods contributing to India’s 2070 net-zero targets.
ABOUT IORA
Iora Ecological Solutions has been co-founded by Swapan Mehra and Chhaya Bhanti. Swapan Mehra serves as the Founder & CEO, while Chhaya Bhanti is a co-founder. Iora Ecological Solutions is an environmental finance, policy advisory and project development group. Our mission is to enable sustainable development in India by promoting ecosystem conservation and low carbon technologies through customized financing and distribution models.