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Private credit glossary · Live data July 2026

What is project finance?

Project finance is long-term debt raised against a single infrastructure or energy project's own contracted cash flows, with limited or no recourse to the sponsor's balance sheet.

553

active Project Finance funds in the Agentas database

$30M$300M

median stated check-size band

How it works

  • Lenders underwrite the project itself: contracts, offtake agreements, construction risk, and reserves.
  • Structured through a special-purpose entity with its own accounts and covenants.
  • Tenors run 10–25+ years to match asset life.

When borrowers use it

  • Solar, wind, storage, data centers, and other infrastructure with contracted revenue.
  • Sponsors who want to preserve corporate balance-sheet capacity.

Related terms

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