Kolkata. The decision to maintain status quo on key policy rates is significant as it comes at the onset of the festive season, according to Knight Frank India chairman Shishir Baijal.
” We welcome the RBI’s move to keep rates unchanged despite the inflationary pressures, as adequate liquidity, and stable repo rate will play a catalytic role in the robust recovery of the country’s housing sector,” Mr Baijal said while reacting to the RBI’s unchanged repo rate at 4 percent.
Over the last few quarters, there has been a fundamental change in buyers’ expectations and attitude towards home ownership,
which has resulted in the residential real estate sector performing exceedingly well across all segments. Many factors, especially demand stimulants like
stamp duty cut and lower circle rates along with lowest ever home loan rates, have helped in converting latent demand to sales, he added.
RBI’s accommodative stance will allow banks to continue providing home loans at the current levels,Mr Baijal rmarked.
“At this juncture we are favorably poised with an encouraging ramp up on vaccination rate across the country, ongoing festive season, and opening up of the country, the time is right to ensure an orbital shift for the industry. Significant and timely measures for a sector like real estate, which has strong linkages with several other industries, would translate into a significant push to overall economic growth of the country,” he concluded.