India Central Bank Set to Allow Banks to Lend to REITs

Sanjay MalhotraPhotographer: Dhiraj Singh/Bloomberg

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By Siddhi Nayak and Ranjani Raghavan

February 6, 2026 at 6:17 AM UTC

Updated on

February 6, 2026 at 7:27 AM UTC

The Reserve Bank of India plans to permit banks to lend directly to real estate investment trusts, or REITs, a move that could unlock fresh funding for property assets and boost the sector’s growth.

The central bank will soon permit such lending with “certain prudential safeguards,” Governor Sanjay Malhotra said, while presenting the RBI’s monetary policy statement on Friday.