Quote on RBI Credit Policy from Mr. Shailesh Puranik, Managing Director, Puranik Builders Pvt. Ltd

Mumbai AI, March 22, 2013“The Reserve Bank of India’s decision to reduce the repo rate by 25 basis points from 7.75 to 7.5 percent is good news for real estate industry. This is definitely going to provide some respite to the real estate industry.

However, a repo rate cut by another 25 basis points would have provided a considerable relief to the industry. A cut by 50 basis points would have addressed the liquidity issue very well in the real estate sector.

The reduction in the repo rate will definitely affect the consumers positively as reduction in repo rate will improve the liquidity in the market at some extent and will reduce the interest burden in the coming days. Also considering the festive season that will commence with Holi, the industry is expecting a boost in the sales of homes. The reduction in repo rate will motivate additional number of home buyers to go ahead with their investment plans in real estate.”