Global investments in new renewable energy projects reached $386 billion in the first half of 2025, according to the latest data from BloombergNEF. This amount represents a 10% increase compared to the previous year, setting a new record despite the decline in financing for large-scale solar and onshore wind installations.
Utility-scale solar in decline across key markets
Financing for utility-scale photovoltaic solar projects fell 19% compared to the first half of 2024, reaching its lowest share of global investment since 2006. This decline was marked in several markets, including mainland China, Spain, Greece and Brazil, due to increased curtailments (mandated production reductions) and greater exposure to negative electricity prices. These developments have raised profitability concerns, pushing investors to be more selective.
Small-scale systems offset the fall in major projects
Investment in distributed solar increased, attracting capital thanks to its rapid deployment capacity. In mainland China, small-scale projects nearly doubled their financing year-on-year, while large-scale solar installations fell by 28% ahead of a regulatory change exposing renewables to greater price volatility.
Offshore wind drives growth with $39 billion invested
Offshore wind accounted for $39 billion of investment during the semester, already surpassing the 2024 annual total estimated at $31 billion. This increase is explained by the concentration of financing on a few large projects and by the timing of government auctions. Outside China, higher construction costs also contributed to the rise in value.
United States sees sharp decline, Europe posts significant increase
In the United States, renewable investments fell 36% compared to the second half of 2024, a decrease of $20.5 billion. This slowdown is attributed to post-election regulatory uncertainty and the anticipation of expiring tax incentives, particularly in the wind sector. In contrast, the European Union recorded a 63% increase in investments, supported notably by offshore projects in the North Sea.
Emerging markets stable, Southeast Asia gains momentum
Emerging markets that experienced strong expansion in 2024 maintained their investment levels without marked growth. Southeast Asia was an exception with a 7% increase, while Latin America saw its smaller markets reach their largest share of regional financing to date. Mainland China remains the leading destination for capital, accounting for 44% of global investments in the first half of 2025.
