Developers dissapointed with RBI decision
After the Reserve Bank of India’s decision to hold the rates, real estate developers say that although they welcome the reduction in cash reserve ratio (CRR), they are disappointed with the fact lending rates have remained the same.
In the policy announcement, RBI cut banks’ Cash Reserve Ratio (CRR) by 25 basis points (bps), while keeping the key rates unchanged. Most developers feel that as much of stock is lying unoccupied. the rate cut would have spurred the housing segment.
Developers’ cost of borrowing have risen 150-200 bps in two years, pushing up their overall cost and homes sales have declined 30-50 per cent in many parts of Mumbai and the National Capital Region (NCR) as prices and interest rates have remained high.
Cash Reserve Ratio (CRR), CRR, home sales market, Mumbai, National capital region (NCR), RBI, Real Estate Developers, Real estate in India, Reserve Bank of India, Reserve Bank of India (RBI)
