Credai welcomes repo rate reduction

Hyderabad, March 2015
The Confederation of Real Estate Developers’ Associations of India (CREDAI) has welcomed the RBI move to reduce the repo rates by 25 bps, the second rate cut within a span of 50 days.

The Federation described the move as a favourable shift in stance from the RBI in view of the controlled inflation projection and a conducive business environment.

C Shekar Reddy, National President, Credai said, “Considering the overall economic situation and challenges being faced by the industry, we welcome the second reduction in repo rates since January 2015 with the hope that it translates into lower rates for home loans. This will ease the burden on the home buyers and create a positive traction in demand for housing.”

However, he felt there is a need for larger cuts in the interest rates to facilitate reduction in EMI’s and increasing the eligibility of a common man to purchase a house.