Driving Growth: InvITs Transforming India's Road Infrastructure

Road infrastructure investment trusts (InvITs) in India are projected to see a 30% growth in assets under management this fiscal year due to increased asset monetization. With strong toll road investments, InvITs are expected to reach Rs 3.9 lakh crore by 2027, driven by asset diversification and investor interest.

Road infrastructure investment trusts (InvITs) in India are on track to achieve a substantial 30% growth in their assets under management (AUM) in the current fiscal year, according to a report by the rating agency Crisil released on Thursday.

The AUM for road sector InvITs is anticipated to climb from Rs 3 lakh crore as of March 2026 to Rs 3.9 lakh crore by March 2027. This surge is primarily driven by the monetization of toll road assets by the National Highways Authority of India (NHAI) and the steady sales of hybrid annuity model (HAM) assets by road developers.

Crisil also highlighted that with increased diversification in InvIT portfolios across various geographies and concession types, these investment trusts are set to become more resilient. Furthermore, a broader pool of investors and controlled leverage strategies are expected to bolster the credit profiles of these trusts.