India has ambitious renewable energy targets of 175GW by 2022. In order to meet this target of 175 GW by 2022, the renewable energy sector in India will require $189 billion in additional investment. The potential amount of investment in the renewable energy sector in India is more than double the investment required. However, the actual amount of investment expected falls short of the investment required, by 29% for equity and 27% for debt. Foreign and domestic institutional investors have the highest potential to bridge this financing gap between expected and required investments, for equity and debt financing, respectively. However, institutional investors have little exposure to the renewable energy sector in India, and because they are risk-averse, they have been reluctant to invest. There is a need to increase institutional investors’ understanding of and familiarity with the renewable energy sector in India as a viable investment option. Institutional investment in the renewable energy sector in India also remains seriously constrained by several specific policy and financial barriers. There are financial instruments and policy solutions which can address the barriers to institutional investment and drive more investment to fill the financing gap for meeting the targets