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SEBI Proposal: Social Impact Funds Minimum Cut to ₹1,000

11 February 20261 min read
BANKING & FINANCESEBI Proposal:Social ImpactFunds MinimumCut to ₹1,00011 February 2026safalsetu.com

Why in the news

The market regulator SEBI has floated a plan to sharply lower the entry ticket for individuals in Social Impact Funds, so that ordinary investors can take part.

Key facts

  • Proposed floor for individuals: ₹1,000; existing floor: ₹2 lakh.
  • Objective: encourage retail participation and enlarge the investor base for social-sector securities.
  • The move is part of SEBI’s consultation framework on social finance access.

About Social Impact Funds (SIFs)

  • They sit under the Alternative Investment Funds (AIF) umbrella.
  • They direct capital to non-profit organisations, social enterprises and projects with measurable social outcomes.
  • Typical focus areas: education, healthcare, livelihoods, financial inclusion, and climate- and sustainability-linked social projects.

Exam angle

  • Regulator: SEBI.
  • Fund category: SIFs fall under AIFs.
  • Numbers: ₹2 lakh down to ₹1,000.

Test yourself

1. SEBI proposed what minimum investment for individuals in Social Impact Funds?

The proposed minimum is ₹1,000, down from ₹2 lakh.

2. Social Impact Funds come under which broader category of funds?

SIFs are a category under Alternative Investment Funds.

3. What is the current minimum investment by an individual in Social Impact Funds, before SEBI's proposal?

The existing minimum is ₹2 lakh.