India’s infrastructure financing ecosystem is witnessing a shift toward diversified and sustainable funding models, supporting long-term infrastructure development. At the forefront of this transformation is India Infrastructure Finance Company Limited (IIFCL), which continues to play a pivotal role in bridging critical funding gaps across core and emerging sectors. While announcing the company’s financial performance for 2025-26, Rohit Rishi, Managing Director, IIFCL, spoke about the company’s operational achievements, key financial metrics, expanding loan book, and growing footprint across the infrastructure sectors. Edited excerpts…
The year 2025-26 marks another year of strong operational progress and institutional strengthening for IIFCL. Our record sanctions, continued expansion of our loan book, growing net worth, resilient operating performance and significant improvement in asset quality reflect the strength of our core financing franchise and our long-term strategic direction. Following the removal of the Scheme for Financing Viable Infrastructure Projects restrictions, IIFCL is expected to witness stronger growth through greater financing flexibility and wider participation in infrastructure projects across various sectors. This significant policy change enables faster credit expansion through new and innovative lending products.
As India enters a transformative phase of infrastructure-led economic growth, IIFCL remains committed to supporting the nation’s development priorities through responsible, innovative and sustainable financing solutions.
IIFCL’s performance during 2025-26 reflects its ongoing institutional consolidation, prudent financial management and growing scale as a future-ready infrastructure financing institution. It remains firmly aligned with India’s long-term development priorities, continuing to play a pivotal role in powering the country’s infrastructure growth journey.
Highest-ever sanctions highlight growing financing footprint
IIFCL recorded its highest-ever annual sanctions of Rs 576.8 billion during 2025-26, registering a growth of approximately 13 per cent over the previous year. Annual disbursements increased 16 per cent year on year to Rs 329.72 billion, reflecting sustained momentum in financing support for infrastructure creation across the country. The company’s cumulative disbursements reached approximately Rs 1.89 trillion as of March 31, 2026. On a consolidated basis, disbursements crossed Rs 2.14 trillion.
Loan portfolio growth reinforces infrastructure financing strength and expanding presence across sectors
IIFCL’s standalone loan book expanded to Rs 817.15 billion as of March 31, 2026, registering a strong year-on-year growth of nearly 17 per cent over 2024-25. The company further strengthened its role in infrastructure financing by deepening its presence across infrastructure sectors, while maintaining a balanced and diversified portfolio.
Core operating performance remains resilient and scalable
IIFCL continued to demonstrate sustained strength in its core financing operations during 2025-26. The company’s operating income has nearly doubled over the past five years, increasing from Rs 36.18 billion in 2021-22 to Rs 69.72 billion in 2025-26. Operating profit also witnessed significant growth during the same period, rising from Rs 11.68 billion to Rs 21.97 billion. The company reported a profit before tax of Rs 19.84 billion and a profit after tax of Rs 13.79 billion during 2025-26.
Enhanced net worth and prudent capital management strengthen growth capacity
IIFCL’s net worth increased to Rs 178.98 billion in 2025-26 from Rs 163.95 billion in the previous year, reflecting continued strengthening of the company’s capital base and lending capacity. IIFCL maintained a capital to risk-weighted assets ratio of 20.53 per cent as of March 31, 2026 – well above regulatory requirements. This robust capital position underscores the company’s prudent financial management and long-term resilience in supporting India’s infrastructure financing needs.
Robust asset quality reinforces financial stability
IIFCL further strengthened its asset quality during 2025-26, with its gross non-performing asset (NPA) ratio improving sharply to 0.40 per cent from 1.11 per cent in the previous year, while the net NPA ratio reduced to 0 per cent. The proportion of IIFCL’s assets externally rated “A” and above improved to approximately 96 per cent as of March 31, 2026, compared to around 93 per cent in March 2025. This reflects the continued strengthening of the company’s portfolio quality, underwriting standards and risk management framework.
