RBI decision will reduce interest rate for loans
The Reserve Bank of India reduced the repo rate by 50 bps to 8%. With this decision the loans are likely to get cheaper.
After 13 consequent increases since 2010, the RBI has finally reduced the Repo Rate for the first time.
According to RBI governor, the liquidity conditions are moving towards normal after several months of acute shortage of cash in the banking system. That is the reason the highest banking authority of India took the decision.
With the decision, real estate projects in India will get considerable inflow as home loans will be cheaper.
The reduction in the repo rate at which RBI lends to banks, has been prompted by deceleration in growth and softening of inflation.
In order to ease tight liquidity situation, this move will reduce the cost of home loans, auto and corporate loans.
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Source Times of India
Apartments in India, banking sector in India, banking service, Home loans, property market, Real estate projects in India, Reserve Bank of India
