Early Warning System

Countries

India

Geographic location where the impacts of the investment may be experienced.

Financial Institutions

Asian Infrastructure Investment Bank (AIIB)

International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.

Project Status

Approved

Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.

Bank Risk Rating

Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."

Voting Date

Apr 22, 2025

Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.

Borrower

IIFL Home Finance Limited

A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.

Sectors

Construction
Finance

The service or industry focus of the investment. A project can have several sectors.

Investment Type(s)

Loan

The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.

Investment Amount (USD)

$ 100.00 million

Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.

Bank Documents

Primary Source

Original disclosure @ AIIB website

Updated in EWS Jul 28, 2025

Contribute Information
Can you contribute information about this project?
Contact the EWS Team

Project Description

If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

According to the Bank’s website, the objective of this project is to support access to affordable housing for low-income households and promote green affordable housing in India.

The project proposes to provide debt financing of up to USD100 million or its equivalent in INR to IIFL Home Finance (IIFLHF) for on-lending to support acquisition or construction of affordable housing in India.

Out of the total proceeds, a part will be allocated to financing the acquisition of affordable housing for households in the Economically Weaker Segment (EWS) and Low-Income Group (LIG). Additionally, a certain percentage will be directed towards loans for acquisition or construction of green affordable housing.

Early Warning System Project Analysis

For a project with severe or irreversible impacts to local community and natural resources, the Early Warning System Team may conduct a thorough analysis regarding its potential impacts to human and environmental rights.

The Project is expected to have minimal adverse environmental and social (ES) impacts as the loan proceeds will be used for (i) lending to individual borrowers for the construction and acquisition of residential property units or (ii) to private residential property developers for financing the construction of small-scale residential developments (one to few apartment blocks) in line with the housing construction regulations in India. Therefore, the Project is placed in Category FI and is expected to have limited adverse ES impacts which are reversible and can be successfully managed using known good practices.

Environmental and Social Aspects: The main environmental aspects related to provision of loans to homeowners for purchase of green and/or affordable homes are related to occupational health and safety of using home appliances and use of building services. For loans related to builders for housing development, environmental aspects are extended to health and safety at construction and operation of the buildings, waste management, and resource efficiency during construction and operation. Land shall be acquired following market principles and a willing seller, willing buyer model. The Project will exclude sub-projects that involve properties built on land with legacy issues and disputes, land resulting from unlawful forced evictions, having adverse impacts on indigenous peoples and vulnerable groups, negative impacts on essential cultural heritage, significant degradation or conversion of critical habitats, and illegal construction that does not comply with applicable national and local laws and regulations. The ES risks and impacts are therefore expected to be limited to labor and working conditions, occupational health and safety aspects of using domestic home appliances and building services. AIIB will conduct prior review and approval of the first three sub-loans to corporate developers and all high-risk sub-loans.

Investment Description

Here you can find a list of individual development financial institutions that finance the project.

Asian Infrastructure Investment Bank (AIIB)

Up to USD100 million or its equivalent in INR.

Financial Intermediary

A financial intermediary is a bank or financial institution that receives funds from a development bank. A financial intermediary then lends these funds to their clients (private actors) in the form of loans, bonds, guarantees and equity shares. Financial intermediaries include insurance, pension and equity funds. The direct financial relationship is between the development bank and the financial intermediary.

IIFL Home Finance Limited (Financial Intermediary)

Private Actors Description

A Private Actor is a non-governmental body or entity that is the borrower or client of a development project, which can include corporations, private equity and banks. This describes the private actors and their roles in relation to the project, when private actor information is disclosed or has been further researched.

IIFL Home Finance Limited is a leading finance & investment services company in India.

Contact Information

This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

CONTACT INFORMATION

PROJECT TEAM LEADER
Asian Infrastructure Investment Bank
Bhavit Sharma - Senior Investment Officer, Financial Institutions and Funds
bhavit.sharma@aiib.org

BORROWER
IIFL Home Finance Limited
Ajay Jaiswal - Chief Operating Officer
ajay.jaiswal@iiflhomeloans.com

ACCESS TO INFORMATION

You can submit an information request for project information at: https://www.aiib.org/en/contact/information-request/index.html

ACCOUNTABILITY MECHANISM OF AIIB

The AIIB has established the Accountability Mechanism for Project-Affected People (PPM). The PPM provides Òan opportunity for an independent and impartial review of submissions from Project-affected people who believe they have been or are likely to be adversely affected by AIIBÕs failure to implement the ESP in situations when their concerns cannot be addressed satisfactorily through Project level GRMs or AIIB Management processes.Ó Two or more project-affected people can file a complaint. Under the current AIIB policy, when the bank co-finances a project with another development bank, it may apply the other bank's standards. You can refer to the Project Summary Information document to find out which standards apply. You can learn more about the PPM and how to file a complaint at: https://www.aiib.org/en/about-aiib/who-we-are/project-affected-peoples-mechanism/how-we-assist-you/index.html

The complaint submission form can be accessed in Arabic, Bahasa Indonesia, Bengali, Chinese, English, Tagalog, Hindi, Nepali, Russian, Turkish, or Urdu. The submission form can be found at: https://www.aiib.org/en/about-aiib/who-we-are/project-affected-peoples-mechanism/submission/index.html