Banks face imminent credit exposure limits for infrastructure developers amid the growing need for infrastructure investment, making it necessary to explore alternative financing structures and recycle bank capital, NaBFID Deputy Managing Director Monika Kalia said on Thursday.
“Looking at the need for infrastructure investment in the country, the kind of capital the banks will have, we will soon run out of the exposure limits on the developers,” Kalia said during the panel discussion at NaBFID’s Infrastructure Conclave 2026.
She said market participants need to explore structures that can help sustain infrastructure financing without requiring banks to raise capital to an exponential level.
Kalia said seasoned assets that have demonstrated stable cash flows should move out of the banking system to other investors, including through securitisation.
“But seasoned assets, which have shown the stability of the cash flows, need to go out of the banking system to the other participants,
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