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RBI lets banks lend to REIT projects directly and upends how real estate funds work
Business
Published on 24 April 2026
Banks can now fund REIT projects at the source
The RBI has approved a new route for financing real estate investment trusts by allowing banks to lend directly to REITs at the project level. The move could improve access to credit, sharpen project viability, and make REITs more attractive to investors—while also changing risk and cash-flow dynamics for developers and lenders.
- RBI permits bank lending to REITs at the project level
- Direct credit access could boost REIT project funding
- May improve investor appeal through steadier financing options
- Could reshape risk sharing between banks and REIT structures
Read the full story at The Economic Times
This summarization was done by Beige for a story published on 
The Economic Times