Sebi to strengthen link between infra and markets: Tuhin Kanta Pandey

Securities and Exchange Board of India (Sebi) Chairman Tuhin Kanta Pandey on Friday said that the regulator is working to strengthen the link between infrastructure building and the markets.

Speaking at Addressing the National Conclave on Reits & InvITs 2025, Pandey said, "Sebi's role is to strengthen the bridge between infrastructure and markets. On the primary market side, we will continue to simplify capital raising through initial public offerings (IPOs), rights issues and bonds."

How is Sebi working to deepen participation in Reits and InvITs?

Pandey further added that the regulator is actively engaging with institutional advice investors to deepen their participation in real estate investment trusts (Reits) and infrastructure investment trusts (InvITs).

"We are coordinating with the Ministry of Finance and several state governments to accelerate public-asset monetisation. We are working with the Insurance Regulatory and Development Authority of India (Irdai), Pension Fund Regulatory and Development Authority (PFRDA), and Employees' Provident Fund Organisation (EPFO) to facilitate greater participation from their entities under their purview," he said.

How mature is the Reits and InvITs sector in India?

Noting that Reits are considered mature assets in global markets, Pandey said that the sector is still evolving in India. He said, "India’s Reit and InvIT sector is still emerging, with significant room to grow in depth, scale, and diversification. Globally, Reits are a mature asset class. For example, US Reits alone manage over ₹360 trillion of assets, while countries like Japan and Singapore have deep, well-diversified Reit markets. Collectively, Reits account for about 57 per cent of global listed real estate market capitalisation, whereas India’s share is still around 12 per cent."

Pandey noted that India currently has five listed Reits and 24 listed InvITs, spanning roads, power transmission, renewables, telecom, warehousing, and commercial real estate. As of October, the combined assets under Management of Reits, InvITs, and SM Reits were around ₹9.25 trillion, roughly ₹7 trillion in InvITs, ₹2.25 trillion in Reits and SM Reits.

What ease-of-doing-business measures is Sebi considering?

The chairman said that the regulator is evaluating further ease-of-doing-business measures for Reits and InvITs. "We are examining a proposal to expand the pool of liquid mutual fund schemes, in which Reits and InvITs can invest, while safeguarding investor interests. We are also exploring whether private InvITs, too, may invest in greenfield projects with adequate safeguards."

Noting that the creation of Maharashtra Infrastructure Investment Trust is an important step in funding infrastructure at the state level, Pandey said that municipal bonds and state-level InvITs naturally complement this ecosystem.