InvITs in India: Paving the Way for Infrastructure Growth

India's InvITs industry is on a trajectory of rapid expansion, with projections to nearly double the number of trusts from 27 to approximately 50 over the next five years. This bullish outlook was shared by NS Venkatesh, CEO of the Bharat InvITs Association, who highlighted the sector's robust growth on the sidelines of a joint meeting with the Indian REITs Association.

Since their inception, InvITs have emerged as a structured and transparent investment platform, suiting India's evolving infrastructure financing needs. Venkatesh noted that the industry has already distributed 68,000 crore rupees in cumulative payouts, offering stable returns to investors while channeling long-term capital into infrastructure projects.

Looking to reduce reliance on foreign capital, the association is actively engaging domestic investors, including significant entities like the Life Insurance Corporation of India, to bolster local investments. With strategic government initiatives such as the National Infrastructure Pipeline and the National Monetisation Pipeline, InvITs are projected to achieve an AUM of Rs 21 lakh crore by 2030, underscoring their potential role in India's infrastructure landscape.

(With inputs from agencies.)