Public sector Indian Overseas Bank (IOB) has signed a Memorandum of Understanding (MoU) with the Confederation of Indian Industry – Indian Green Building Council (CII-IGBC) to provide financial support for developers and homebuyers investing in IGBC-certified green buildings. The initiative aims to make eco-friendly construction more financially viable, supporting India’s push for sustainable urban development.
Key Highlights of MoU
1. Strengthening the Green Building Ecosystem
IOB will offer preferential financing options for real estate projects that meet IGBC’s green certification standards.
Eligible beneficiaries:
- Developers constructing IGBC-rated buildings.
- Homebuyers purchasing residential units in these projects.
The initiative will support sustainable housing and communities while improving affordability for buyers.
2. Incentives for Developers & Homebuyers
To encourage wider adoption of green construction, IOB’s financial schemes will focus on reducing cost barriers:
Special financing models for:
- IGBC Green Affordable Housing
- IGBC NEST
- IGBC NESTPLUS (targeting economically weaker sections & lower-income groups).
Awareness campaigns to educate developers and homebuyers about the benefits of green buildings and available financial support.
3. Promoting Sustainable Urban Growth
Green buildings help address challenges like energy inefficiency and resource depletion.
The collaboration will contribute to reducing the carbon footprint in India’s real estate sector.
The partnership will also track emerging trends in green construction, ensuring that financial products evolve to align with sustainability standards.
About Indian Green Building Council (IGBC)
It is part of the Confederation of Indian Industry (CII).
Established in 2001 with the vision: “To enable a sustainable built environment for all and position India as a global leader in sustainable construction by 2025.”
Certification System:
- IGBC Pre-Certified Project: Reviewed based on proposed sustainable features, signifying it is on track for full certification.
- IGBC Certified Project: Fully evaluated and officially certified after meeting all sustainability standards.
Key Factors Considered in IGBC Green Building Certification
- Energy Efficiency – Optimized design, efficient HVAC systems, renewable energy integration.
- Water Conservation – Rainwater harvesting, low-flow fixtures, water-efficient landscaping.
- Material Selection – Use of recycled and sustainable materials.
- Waste Management – Recycling programs, reduced construction waste.
- Indoor Air Quality – Proper ventilation, contaminant control measures.