Realty sector welcomes stimulus for stalled projects, but says more needed to boost demand
The government's decision to set up a Rs 20,000 crore stressed assets fund for those residential projects that are non-NPA and not under NCLT will provide relief to lakhs of homebuyers, but it should have done more to boost housing demand, property developers and consultants said on Saturday.
They rued that the government has not adequately addressed the issue of demand slowdown and lower sales. Builders were also hoping for an increase in the price cap of affordable housing to beyond Rs 45 lakh.
To provide relief to aggrieved homebuyers, the government will set up a special window to provide last mile funding for housing projects which are non-NPA and non-NCLT in the affordable and middle income category. In the fund, Rs 10,000 crore will be contributed by the central government and roughly the same amount will come from outside investors.
"The government has just scratched the tip of the surface with the recent announcement. They are not realising the gravity of the situation. Real