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SEBI lets InvITs borrow beyond 49% debt cap to fund capex and repairs
Economy
Published on 16 May 2026
The 49% debt ceiling just got quietly rewritten
SEBI has issued new guidelines for Infrastructure Investment Trusts (InvITs), allowing them to take on debt beyond the existing 49% cap relative to the value of their assets. The change opens a fresh funding route for InvITs to finance capital expenditure, upgrades, and repairs across infrastructure projects. While the move could improve liquidity for asset maintenance and growth plans, it also raises fresh questions about leverage levels, risk management, and how investors will weigh the new capital structure.
- SEBI released updated InvIT guidelines affecting borrowing limits
- InvITs can exceed the previous 49% debt cap on asset value
- Extra leverage can support capex, enhancements, and repairs
- The shift aims to widen funding options for infrastructure projects
- Investors will likely reassess risk with potentially higher gearing
Read the full story at The Economic Times
This summarization was done by Beige for a story published on 
The Economic Times