SEBI has proposed a framework allowing Depository Receipts (DRs) against REIT and publicly listed InvIT units, seeking public comments by August 25, 2026.
SEBI Proposes Framework for Depository Receipts in REITs and Listed InvITs
The Securities and Exchange Board of India (SEBI) has released a proposal for a framework that permits the issuance of Depository Receipts (DRs) against Real Estate Investment Trusts (REIT) and publicly listed Infrastructure Investment Trusts (InvITs). Stakeholders are invited to submit their comments by August 25, 2026.
The introduction of DRs is aimed at enhancing the liquidity and accessibility of these investment vehicles for a wider investor base. By allowing DRs, SEBI seeks to facilitate foreign investment into Indian REITs and InvITs, thereby augmenting the capital inflow into these markets.
This framework is expected to align with global practices, making Indian investment vehicles more attractive to foreign investors and broadening the market for domestic institutional investors as well.
Practitioners in the field of securities law should take note of the implications of this proposal, as it signifies a strategic shift towards more inclusive investment practices. Fostering dialogue during the public comment period may allow practitioners to influence the outcome of this regulatory framework, which could reshape the investment landscape in India.
Citations
- SEBI (2026) SEBI Circular
