The Confederation of Real Estate Developers' Associations of India (CREDAI), the apex body for private real estate developers in India, was surprised by the RBI's decision to increase repo rates by 25bps in the recent review of the monetary policy.
The body opines that though the step is aimed at combating inflation, the focus on industry growth has been ignored.
C Sekhara Reddy, president of CREDAI National, said, "In these challenging times, the RBI's decision to raise the repo rates by 25bps is tougher than expected, and could have been avoided. In the coming months, we hope bankers come out with special schemes to attract home buyers."
He further added, "RBI should formulate a special policy for the housing industry, with a focus on affordable housing. We hope that the RBI takes cognizance of the industry requirement, and that it will announce a rate cut which will provide the sector its much-needed trigger and encouragement." (INN)