Interest Rates will take time to subside, says Nitin Gadkari advising industry to go in for dollar loans as an alternate to higher interest rates

New Delhi, August 23, 2016: Minister for Road Transport, Highways and Shipping, Mr. Nitin Gadkari on Friday ruled out the immediate possibility for interest rates to subside but exuded hopes that reduction in interest rates would happen in next few months ant till then asked the construction and real estate industry to woo their NRIs friends and other such individuals and institutions to arrange for loans in dollars for their projects as an alternate for higher interest rates.

“Loans in dollars currency for projects stuck up for want of money would work out much cheaper as their repayment should happen in the same currency until interest rates begin to subside in next few months as currently, it is highly unlikely that the relevant institutions can tame with the status quo of prevailing interest rates”, said Mr. Gadkari while addressing the 13th National Convention on a theme “India is Future Ready: Housing & Infrastructure-Key Catalysts” under aegis of NAREDCO here today.

The Minister also anticipated emphasizing that the prevailing sad scenario of cement and steel industry would turn for better in next few months as the government has taken several corrective measures to improve their plight, especially by imposing duties on imports from China on steel.

“Until the situation improves in real estate and construction sector in next few months, the twin industry should diversify their operations into the highways sector by coming forward to pour their contribution to it to make up for the lost time as this sector presently offers huge opportunities with government focusing on it with utmost priority”, said the Minister.

Mr. Gadkari also called upon the real estate and construction industry to explore possibilities for their participation through joint ventures operations in the Delhi-Jaipur express highway project on both side of which nearly 10 big townships are proposed to come up as an immediate solution to their ongoing problems.

Similarly, the Minister also sought the support and participation of construction and real estate industry to pro-actively participate in Delhi-Meerut highway project which is likely to progress with new construction technology through which the waste that spills around could be converted into wealth.

The Minister concluded that ever since he took over the charges of Road Transport, Highways and Shipping Ministry, a great deal of NPAs have been curtailed substantially with a consensus approach involving all stakeholders to finding solutions of increasing numbers of NPAs.

Referring to congestion that the NCR faces as of now, Mr. Gadkari said that the NDA government has decided to shift all the godowns and other logistics storages facilities outside Delhi to cleanse it from pervasive traffic. With this on cards, the NCR would decongest itself for smoother traffic movement.

Corporate Comm India(CCI Newswire)