Housing Loans to Grow 20% : National Housing Bank


The National Housing Bank (NHB) aims to disburse about to Rs. 17,000 crore as refinance support to banks & HFCs (housing finance companies) in 2012-13.

NHB had disbursed nearly Rs 14,400 crore in 2011-12.

The apex bank for regulating & supervising HFCs, has already disbursed about to Rs 3,300 crore as refinance support so far this fiscal. (July to June its accounting year.)

Mr. R. V. Verma, Chairman and Managing Director, said, “ NHB plans to raise Rs. 14,000 crore this year to fund its refinance plans. Of this, Rs 5.,000 crore will be raised through tax-free bonds, Rs. 4,000 crore via rural housing fund and another Rs. 5,000 crore by way of other bonds”

Credit Guarantee Trust..!

NHB has already raised about to Rs. 4,000 crore so far
Mr. R. V. Verma, also said  “We are witnessing a steady demand for housing loans this year. In 2011-12, housing loan disbursements by banks and HFCs grew by 17 to 18 per cent to Rs. 1.3 lakh crore. This year we expect housing loan disbursements to grow by 20 per cent . The Credit Guarantee Trust Fund for low income housing will be operational by the end of this fiscal”.

People with a monthly income of Rs. 10,000 to Rs. 20,000 are usually considered for loans under the affordable housing segment.

NHB is the nodal agency in charge of administering the fund, which is being floated jointly by the Central and State governments with an initial corpus of Rs. 1,000 crore.

“We have set up the & and it should start operating by the end of this fiscal.(2012-13) The risk weight on housing loans under the low income segment backed by the Credit Guarantee Trust will be lower, thereby giving lenders some capital relief. This will help them pass on the benefit to their customers through an interest subsidy” Mr. Verma Added.  

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