State Bank of India (SBI) and Confederation of Real Estate Developers Association of India (CREDAI) have made a pact for three years to give the financial boost in the development of affordable housing.
SBI, supporting as CREDAI’s national banking partner, will extend the construction finance around Rs 12,500 crore to the certified builders. Under bi-directional incentives, the bank provides a concession in the interest to developers for construction finance and homebuyers for home loans. The concession in an interest rate of construction finance will be up to 35 bps.
With a target to construct a total of 2.33 lakh housing units, CREDAI’s developers across India have launched 373 housing projects under the support of the Union Minister of Urban Development, Housing and Urban Poverty Alleviation, Venkaiah Naidu. An estimation of Rs 70,000 crore fund will be provided for this initiative.
“SBI is the largest affordable housing financer in the country. It’s a special moment for us to partner with CREDAI for affordable housing aimed at achieving National mission of Home for all by 2022. This initiative will help millions of home buyers fulfil their dream of owning a home. In the long run, it will give a boost to the real estate industry and economy as a whole,” says Rajnish Kumar, MD (NBG), SBI.
Source: ET Realty