RBI amends valuation rules

RBI revised valuation norms for InvIT and REIT units held by all-India financial institutions, introducing separate rules for quoted and unquoted units.

“In order to ensure clarity and uniform practices in the valuation of units of Infrastructure Investment Trust and Real Estate Investment Trusts, there is a need to amend the extant instructions”

New valuation provisions

RBI added Paragraph 58A for InvITs and Paragraph 58B for REITs to standardize valuation rules for quoted and unquoted units.

Quoted units valuation

Quoted InvIT and REIT units follow existing quoted securities valuation rules under the new framework.

Unquoted units valuation

Unquoted InvIT units are valued at NAV disclosed by the trust, defaulting to Re 1 if NAV isn't disclosed.

“Units: The valuation shall be done at the NAV as disclosed by the InvIT”

REIT units valuation

Unquoted REIT units follow the same NAV-based valuation rules as InvITs with Re 1 default for missing disclosures.

“Units: The valuation shall be done at the NAV as disclosed by the REIT”

Re 1 default rule

InvIT and REIT units default to Re 1 value if NAV isn't disclosed in required frequency or manner under SEBI regulations.

“Where an InvIT fails to compute and disclose the NAV in the manner and frequency specified under SEBI (Infrastructure Investment Trusts) Regulations, 2014, the value of its units shall be treated as Re 1”

Effective date

The revised valuation rules take effect immediately from the date of issue, November 28, 2025.