The Securities and Exchange Board of India (Infrastructure Investment Trusts) (Amendment) Regulations, 2026 introduce key changes to the existing 2014 framework to enhance clarity, flexibility, and risk management in InvIT operations. The amendments revise definitions of liquid assets by including units of liquid mutual funds with a minimum credit risk value of 10 and specific risk classifications, while removing certain earlier inclusions. Changes relating to Special Purpose Vehicles (SPVs) clarify their status, including continued classification even after termination of concession agreements, subject to specified conditions. For PPP projects, exemptions are provided where holding structures are restricted by agreements or regulations. Investment norms are also updated by lowering the credit risk threshold from 12 to 10 and expanding permissible categories. Additionally, InvITs are granted broader flexibility in utilizing funds for infrastructure development or other purposes as specified by the Board. These amendments aim to strengthen regulatory clarity and operational efficiency.
SECURITIES AND EXCHANGE BOARD OF INDIA
NOTIFICATION
Mumbai, the 16 April, 2026
SECURITIES AND EXCHANGE BOARD OF INDIA (INFRASTRUCTURE INVESTMENT TRUSTS) (AMENDMENT) REGULATIONS, 2026
No. SEBI/LAD-NRO/GN/2026/301.— In exercise of the powers conferred under Section 30 read with Sections 11 and 12 of the Securities and Exchange Board of India Act, 1992 (15 of 1992), the Board hereby makes the following regulations to further amend the Securities and Exchange Board of India (Infrastructure Investment Trusts) Regulations, 2014, namely: —
1. These regulations may be called the Securities and Exchange Board of India (Infrastructure Investment Trusts) (Amendment) Regulations, 2026.
2. They shall come into force on the date of their publication in the Official Gazette.
3. In the Securities and Exchange Board of India (Infrastructure Investment Trusts) Regulations, 2014, —
I. in regulation 2, in sub-regulation (1),
(a) in clause (zca),
i. the words “or liquid” appearing after the words and symbol “means cash, units of overnight” and before the words and symbol “mutual fund schemes,” shall be omitted;
ii. after the words and symbol “mutual fund schemes,” and before the words and symbol “fixed deposits of scheduled commercial banks,” the words and symbols “units of liquid mutual fund schemes where credit risk value is at least 10 and which falls under the Class A-I or Class B-I in the potential risk class matrix as specified by the Board,” shall be inserted;
iii. the words and symbols “government securities, treasury bills, repo on government securities” shall be substituted with the words and symbols “Government Securities, treasury bills, repo on Government Securities”;
(b) in clause (zy),
i. after the words and symbols “”special purpose vehicle” means” and before the words “company or”, the word “any” shall be substituted by the word “a”;
ii. in sub-clause (i), the proviso shall be substituted with the following, namely, –
“Provided that in case of PPP projects where such acquisition or holding is disallowed by the Government or regulatory provisions under the concession agreement or such other agreement, this clause shall not apply and shall be subject to the provisions under proviso to sub – regulation (3) of regulation 12;”;
iii. in sub-clause (ii),
1. the word “and” appearing after the words and symbol “invest in other SPVs;” shall be omitted;
2. the following proviso shall be inserted, namely, —
“Provided that, in respect of an SPV holding an infrastructure project, the conclusion or termination of the concession agreement or such other agreement of a similar nature shall not affect its status as an SPV and such an SPV shall continue to be classified as an SPV subject to the fulfilment of such conditions as may be specified by the Board; and”
iv. in sub-clause (iii),
1. the word “other” appearing after the words “not engaged in any” shall be omitted;
2. after the words “activity other than” and before the words “activities pertaining to”, the word “the” shall be inserted.
II. in regulation 18 —
(a) in the proviso to sub-regulation (4), the words and symbols “sub-clause (ii), (iii), (iv), (v), (vi), (vii) and (viii) of” shall be omitted;
(b) in sub-regulation (5), in clause (b),
i. in sub-clause (vii),
1. the number “12” appearing after the words “credit risk value is at least” shall be substituted with the number “10”;
2. after the words and symbol “Class A-I” and before the words “in the potential risk class matrix” the words and symbol “or Class B-I” shall be inserted;
ii. after sub-clause (viii), the following sub-clause shall be inserted, namely, ”(ix) SPVs as referred to in proviso to regulation 2(1)(zy)(ii).”
III. in regulation 20, in sub-regulation (3), in clause (b), in sub-clause (ii), after the words “development of infrastructure projects” and before the symbol “;” the words “or for such other purposes as may be specified by the Board” shall be inserted.
BABITHA RAYUDU, Executive Director
[ADVT.-III/4/Exty./44/2026-27]
Note:
1. The Securities and Exchange Board of India (Infrastructure Investment Trusts) Regulations, 2014 was published in the Gazette of India on September 26, 2014 vide notification no LAD-NRO/GN/2014-15/10/1577 and was last amended on December 11, 2025 by the Securities and Exchange Board of India (Infrastructure Investment Trusts) (Fourth Amendment) Regulations, 2025 vide notification No. SEBI/LAD-NRO/GN/2025/286.
