CII welcomes housing loan soaps

The Confederation of Indian Industry (CII) has welcomed the decision of public sector banks to offer support to medium and small scale housing sector.

Welcoming the announcement of the measures by public sector banks to support the medium and small scale housing sector, the CII Director General Chandrajit Banerjee said: “This comes at the right time and would provide the much needed support to the two sectors. The small and medium sectors have been one of the worst hit as a result of the credit crisis and this would help ease the cost of credit burden on these companies. However, access to easy credit still remains an issue for them.”

“Low cost housing has a tremendous multiplier effect and hence the decision of the PSU Banks to cut rates for the sector implies that overall demand would get a boost. This would naturally help the real estate sector as demand picks  up, and this is really needed since the sector has been reeling under the impact of the economic slowdown,” a CII statement said.