New Delhi
India Infrastructure Finance Company Limited (IIFCL) is targeting loan sanctions of around ₹75,000 crore in FY26 following a record performance in the previous fiscal, Managing Director Rohit Rishi said, highlighting strong credit demand across infrastructure segments.
The state-owned infrastructure financing institution also reported a sharp improvement in asset quality, with its non-performing assets (NPA) ratio declining to 0.40 per cent, reflecting tighter risk management and improved recovery mechanisms across its loan portfolio.
According to Rishi, the strong momentum in infrastructure financing is being driven by sustained government capex, increased private participation, and rising demand for long-term funding in sectors such as transport, energy, logistics, and urban development.
He noted that IIFCL’s expanding role aligns with India’s broader infrastructure growth strategy, as the country continues to prioritise large-scale investments in roads, railways, ports, renewable energy, and digital infrastructure. The institution has been focusing on diversifying its lending portfolio while maintaining a strong emphasis on credit quality and project viability.
Officials said the reduction in NPAs to 0.40 per cent marks one of the strongest asset quality improvements in recent years, supported by better project monitoring and resolution of stressed accounts. The improvement also reflects the broader resilience of India’s infrastructure financing ecosystem amid global economic uncertainties.
Rishi added that FY26 is expected to remain a strong year for infrastructure lending, with continued pipeline growth in both public-private partnership (PPP) projects and standalone government-funded projects. He also emphasized the importance of blended finance structures and long-term debt instruments to support large infrastructure projects.
IIFCL’s performance comes at a time when India’s infrastructure push remains central to economic growth strategy, with the government focusing on enhancing connectivity, boosting manufacturing competitiveness, and supporting urban expansion.
The institution’s outlook signals continued optimism in India’s infrastructure financing space, underpinned by stable macroeconomic conditions and sustained policy support for capital investment-led growth.
