Infrastructure development is a key requirement for economic development of any nation. Developing countries all over the world are facing inadequate and poor infrastructure facilities to support their developmental requirements. Akin to other developing nations, scarcity of finance is the major problem faced by the infrastructure sector in India. Of course, Kerala is also facing the problem of inadequate of infrastructure development due to insufficiency of financial resources. The present study intends to cover the role of financial institutions specially formed for infrastructure financing like Housing and Urban Development Corporation (HUDCO), in terms of provision of finance, in the development of infrastructure in Kerala. The number of schemes sanctioned, total project cost, loans sanctioned and loans released by HUDCO in Kerala during the period from 2005 to 2014 are examined in detail. HUDCO, since its inception, is providing finance to Kerala for undertaking various infrastructure developmental activities. During 2013-14, it sanctioned 168 schemes in the country and in Kerala the total number of schemes sanctioned figures two with a CAGR of 0.36 per cent (ten year period up to 2013-14) and the total project cost registered a CAGR of 12.88 per cent against All-India growth of 15.37 per cent. The equality of regression coefficients of CAGRs of financing by HUDCO on all-India basis and Kerala is also put on test.