HomeCirculars › RBI/2013-14/378

Infrastructure Lending Definition Updated: Hotels & Convention Centres Added

No longer current — withdrawn, no replacement on file yet
Source: Reserve Bank of India · RBI/2013-14/378 · issued 25 Nov 2013 · ~2 min read
Quick answerRBI expanded infrastructure lending to include hotels costing over Rs 200 crore and convention centres over Rs 300 crore, aligning with the government's updated master list. This allows banks to classify such loans as 'infrastructure lending' from the circular date.

What changed

The government added two new sub-sectors to the Harmonised Master List of Infrastructure sub-sectors: hotels with project cost over Rs 200 crore (any star rating, any location) and convention centres with project cost over Rs 300 crore. RBI updated its definition of infrastructure lending to include these sub-sectors, effective from November 25, 2013, with conditions like excluding land cost and a three-year window for eligible projects.

What it means for you

Banks can now classify loans for large hotels and convention centres as infrastructure lending, which may attract preferential treatment like lower risk weights or priority sector benefits. This expands the scope of infrastructure finance, potentially boosting credit flow to hospitality and event infrastructure. However, the Rs 200 crore and Rs 300 crore thresholds mean only large-scale projects qualify, and land costs are excluded from eligible project costs.

Historical instruction — do not use for current compliance. This is what was required at the time; it no longer reflects current RBI requirements. If no replacement rule is linked above, that only means none is recorded on our register yet — it does not prove no later applicable rule exists. Confirm on the official RBI source below.

What banks were required to do at the time

Who it affects

All scheduled commercial banks (excluding RRBs), All India term-lending and refinancing institutions (EXIM Bank, NABARD, NHB, SIDBI), Borrowers in hospitality and convention centre sectors

❓ Common questions

Regulatory timeline

Built from our lineage records — each fact carries its provenance; missing history simply is not shown (never guessed).

What are the new sub-sectors added to infrastructure lending?

Hotels with project cost over Rs 200 crore each (any star rating, any location in India) and convention centres with project cost over Rs 300 crore each.

Are there any conditions for these new sub-sectors?

Yes, eligible costs exclude land and lease charges but include interest during construction. The classification applies prospectively from the circular date (Nov 25, 2013) and is available for eligible projects for a period of three years.

Does this change affect existing loans?

No, the new sub-sectors apply with prospective effect from the circular date, so only new projects or expansions meeting the criteria after that date qualify.

📜 This document’s life story (1 recorded event, each backed by RBI’s own words)
Repealed by RBI/2025-26/100 — Consolidation of Regulations — Withdrawal of circulars (28 Nov 2025)
RBI’s words: “Official withdrawal register entry #991: DBOD.BP.BC.No.66/08.12.014/2013-14 — "Financing of Infrastructure - Definition of 'Infrastructure Lending'" dated November 25, 2013”
📜 Read the original circular — full text as issued by RBI
RBI/2013-14/378 DBOD.BP.BC.No.66/08.12.014/2013-14 November 25, 2013 All Scheduled Commercial Banks (excluding RRBs) and All India Term-Lending and Refinancing Institutions (EXIM Bank, NABARD, NHB and SIDBI) Dear Sir, Financing of Infrastructure - Definition of 'Infrastructure Lending' Please refer to our circular DBOD.BP.BC.No.58/08.12.014/2012-13 dated November 20, 2012 on ‘Definition of Infrastructure Lending’ harmonising the RBI definition of Infrastructure Lending with that of the ‘Master List of Infrastructure sub-sectors’ notified by the Government of India on March 27, 2012 and its subsequent updation vide our circular DBOD.BP.BC.No.106 /08.12.014 /2012-13 dated June 28, 2013 . 2. The Government of India has further updated the Harmonised Master List of Infrastructure sub-sectors vide Gazette Notification dated October 7, 2013 and the following new sub-sectors have been added in the Master List: Hotels with project cost of more than Rs.200 crores each in any place in India and of any star rating. Convention Centres with project cost of more than Rs.300 crores each. 3. Accordingly, an updated list of sub-sectors for infrastructure lending by banks and select All India Term-Lending and Refinancing Institutions is given in the Annex . The new sub-sectors will get classified as ‘Infrastructure’ for the purpose of lending by banks and select All India Term-Lending and Refinancing Institutions from the date of this circular and will be subject to the conditions mentioned therein. Yours faithfully, (Chandan Sinha) Principal Chief General Manager Annex List of sub-sectors for ‘Infrastructure Lending’ A credit facility extended by lenders (i.e. banks and select All India Term-Lending and Refinancing Institutions) to a borrower for exposure in the following infrastructure sub-sectors will qualify as ‘infrastructure lending’: Category
Reproduced for reference with acknowledgment — Source: Reserve Bank of India · RBI/2013-14/378 · issued 25 Nov 2013. The plain-English explanation above is BankPulse’s own independent summary.
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Official RBI source: https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=8591&Mode=0 — Plain-English summary by BankPulse (bankpulse.ai), reviewed by our expert reviewer, CA Amit Jain. Independent platform, not affiliated with the Reserve Bank of India; is our own plain-English paraphrase, not RBI’s original wording.
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