The RBI has permitted banks to lend directly to real estate investment trusts (REITs), a move expected to widen funding avenues and lower the cost of capital. ADVERTISEMENTIndustry bodies said the move would provide REITs access to stable, long-term funding. “Direct access to bank lending provides REITs with a stable, long-term source of funding, expanding the avenues of fundraising for these instruments. As investors prefer instruments with three-to-five-year tenors, long-term funding remains a challenge. Access to bank credit will serve as an additional funding avenue,” said Shishir Baijal, CMD, Knight Frank India.

Source: The Telegraph February 07, 2026 07:09 UTC