22 Aug 2025

India’s InvIT Market to Triple by 2030, Reaching Rs. 22.45 Lakh Crore

India’s Infrastructure Investment Trusts (InvITs) are rapidly emerging as one of the country’s most promising asset classes, with their market size projected to reach Rs. 22.45 lakh crore by 2030. This marks a 3.5-fold jump from Rs. 6.38 lakh crore estimated for FY25, according to Knight Frank India.

Currently, InvITs are growing faster than their real estate counterparts, REITs, which hold Rs. 1.79 lakh crore in assets. Together, InvITs and REITs are expected to manage Rs. 8.17 lakh crore in assets by FY25, up from Rs. 3.66 lakh crore in FY20.

India now ranks as the fourth-largest REIT and InvIT market in Asia, with five REITs and 17 InvITs listed on exchanges, collectively valued at Rs. 2.89 lakh crore .

This surge is driven by robust government policies, including the National Monetisation Pipeline (NMP), and rising investor interest in infrastructure sectors. The government’s infrastructure spending has increased from Rs. 1.04 lakh crore in FY15 to Rs. 6.52 lakh crore in FY25, now 2% of India’s GDP.

InvITs are expected to play a key role in financing India’s Rs. 191.5 lakh crore infrastructure needs by 2030. However, the current penetration remains limited: InvITs manage just 21% of NHAI toll assets, 2% of solar capacity, and one-third of telecom towers. Sectors like logistics, airports, and urban infrastructure remain largely untapped.

The upcoming NMP 2.0 aims to unlock Rs. 10 lakh crore through asset monetisation by 2030. Investor confidence is being bolstered by risk-sharing models, viability gap funding, and improved governance.

Experts say, expanding into new sectors such as data centres and water infrastructure, along with broader retail participation and higher institutional investment from pension and insurance funds, will be crucial to scaling up. India’s InvIT market is not just transforming infrastructure financing, it’s also attracting global investor attention as a powerful long-term opportunity.

Source: IBEF