SEBI proposes depository receipt framework for Indian REITs, InvITs

The Securities and Exchange Board of India (SEBI) issued a consultation paper on 4 August 2026 seeking public comments on a proposed regulatory framework that would permit the issuance of depository receipts (DRs) against units of Real Estate Investment Trusts (REITs) and publicly listed Infrastructure Investment Trusts (InvITs). The proposal, based on recommendations of the Hybrid Securities Advisory Committee, notes that while the Depository Receipts Scheme, 2014 and related foreign‑exchange rules allow DRs, the existing REIT and InvIT regulations lack enabling provisions. SEBI plans to insert such provisions through a circular and to limit DR issuance to REITs and publicly listed InvITs, excluding privately listed InvITs. Comments are invited until 25 August 2026.

The move is intended to make Indian REITs and InvITs more accessible to international investors, potentially expanding foreign capital flows into the country’s real‑estate and infrastructure sectors.