Government Lifts SIFTI Caps, Boosting IIFCL's Financing Options

The Indian government has lifted restrictions under the Scheme for Financing Viable Infrastructure Projects on the India Infrastructure Finance Company Ltd (IIFCL), offering the company enhanced financing flexibility. This move allows IIFCL to have increased involvement in diverse infrastructure projects across several sectors.

Previously, SIFTI limited IIFCL's lending capabilities, capping its contribution to 20 percent of a project's cost. With these restrictions removed, the company can pursue new lending strategies and expand its credit facilities. Rohit Rishi, IIFCL's managing director, expressed optimism about the potential for substantial growth and innovation in financing solutions.

IIFCL has been a pivotal player in India's infrastructure finance since its establishment in 2006. The company, which was initially governed by both government and Reserve Bank oversight, now boasts a robust financial portfolio. With a loan book of Rs 81,715 crore as of March 2026, IIFCL continues to align with India's national development strategies.

(With inputs from agencies.)