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IFSC proposes differential distribution of funds to promote blended finance

Business Standard

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October 25, 2025

SEBI SAID THE PROPOSAL WOULD FACILITATE FLEXIBLE CAPITAL RAISING FOR PROJECTS ALIGNED WITH THE UNITED NATION SDGs

- BS REPORTER

The International Financial Services Centres Authority (IFSCA) has proposed allowing fund managers operating out of GIFT City to issue multiple classes of units with differential distribution rights.

The move is aimed at enabling blended finance structures that combine concessional or philanthropic capital with private investment to fund socially desirable but commercially less viable projects.

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