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    RBI’s decision on one time loan restructuring will help stressed projects: Housing secretary

    Synopsis

    Durga Shankar Mishra, Secretary (HUPA) Ministry of Housing and Urban Affairs said that RBI has been proactively taking decision and will positively decide on one time loan restructuring.

    RBI-newest-ReutersReuters
    New Delhi: The Reserve Bank of India (RBI) will soon take a call on one time loan restructuring and it will help a lot of stressed real estate projects, Durga Shankar Mishra, Secretary (HUPA) Ministry of Housing and Urban Affairs said on Friday.

    Addressing a webinar by PHD Chamber of Commerce and Industry on “Housing for All 2022", Mishra said that RBI has been proactively taking decision and will positively decide on one time loan restructuring.

    “RBI has formed a committee and one time loan restructuring will open up a lot of stressed projects. SWAMIH fund has already approved Rs 9300 crore and RBI’s decision will further boost the affordable housing segment,” said Mishra.

    Manoj Gaur, MD, Gaurs Group said that government has been requesting to reduce the pricing but due to certain provisions under the IT act, developers are unable to do so.

    “If we reduce the price by more than 10%, we will have to pay 30% tax, which acts as a deterrent,” said Gaur.

    Housing secretary asked developers to send a written requests so that they can take up the matter.

    “Developers get IT rebate, if they complete the project in five years. We have requested the ministry to include the time list due to Covid-19 and NGT ban,” he added.

    Manish Agarwal, chairman, housing and urban development committee said that decision to reduce stamp duty by Maharashtra government will generate demand and increase the cash flow in the real estate sector.

    Mishra said that Model Tenancy Law will be shared with states within a month and once notified, it will increase the demand for rental housing.


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