Mumbai.
Alternative Investment Fund (AIF) investment in India in the first half of FY 2025 (April to September) has been around Rs 4.5 lakh crore. The reason for this is the rapid growth of the country’s economy. This information was given in a report released on Monday. Latest Sebi data compiled by Anarock Research shows that of the total AIF investments of Rs 4,49,384 crore made across sectors till H1FY25, real estate accounted for the highest share of Rs 75,468 crore or 17 per cent.
Anarock’s report said that in the review period, other sectors were Rs 27,815 crore in IT/ITES, Rs 25,782 crore in financial services, Rs 21,503 crore in NBFC, Rs 18,242 crore in banks, Rs 17,272 crore in pharma, Rs 11,680 crore in FMCG. Rs 11,389 crore in retail, Rs 11,389 crore in renewable energy AIF investment of Rs 10,672 crore and Rs 2,29,571 crore have come in other sectors.
The number of funds available for investment in AIFs in India has seen strong growth over the past decade. The overall commitment of AIF has increased by more than 340 per cent in the last six years. It increased from Rs 2,82,148 crore in FY2019 to Rs 12,43,083 crore in H1FY25, showing the trend of investment in Alternative Investment Funds.
Investment commitments in FIF have seen a compound annual growth rate (CAGR) of 83.4 per cent between FY 2013 and FY 2024, indicating its increasing importance in the broader investment landscape. Anarock Group Chairman Anuj Puri said, “Total investment in the real estate sector through AIFs is expected to increase from Rs 68,540 crore by the end of FY2024 to Rs 75,468 crore in H1 2025. “This represents a strong growth of 10 per cent in the first half of the financial year.”
Puri further said that when you look deeper into the data, the growth in FI activity is being driven by the II AIF category, which includes real estate funds, private equity, debt funds and fund of funds. The report further said that domestic investors have traditionally been the primary source of AIF funding. However, foreign portfolio investors (FPIs) are also coming forward, especially in Category II AIFs. Now, along with domestic investors, FPIs also have almost equal participation in this category.
