Energy is a basic ingredient to the economic growth story. Given the increased climate change risk, India like all other countries must transit from fossil -based energy to renewable energy. The transition requires large investments from domestic and foreign actors. The major source of sustainable finance from foreign actors is through the Foreign Direct Investment and External Commercial Borrowings routes. This study analyses the causal relationship between ‘Foreign Direct Investment and Economic Growth’ and ‘External Commercial Borrowings and Economic Growth’ in India in Renewable Energy sector, also explores the causal relationship between Foreign Direct Investment and External Commercial Borrowings. The study will help in recommending policy changes to increase Foreign Direct Investment and External Commercial Borrowings into Renewable Energy in India.