Budget 2012: Real estate welcomes allowing ECBs for low cost affordable housing

Bhim Yadav, Chief Executive Officer - Falcon Realty Services (P) Ltd

"We welcome the Finance Minister’s decision to allow External Commercial Borrowings (ECB) for low cost affordable housing projects as this will give a much needed boost to the affordable housing segment. This will further help in bridging the demand supply gap in the affordable housing segment. Also setting up of the Credit Guarantee Trust Fund to ensure better flow of institutional credit for housing loans is an excellent impetus which will have a great impact on the prospective customers going for affordable homes.

Our Global Eco-city project which is located on NH-8 alongside the Delhi-Mumbai Industrial Corridor (DMIC) will see a surge in demand as Japanese funds have pumped in to a great extent for a gamut of sectors including infrastructure, technology, automobile, etc. Also, people with an income between 5 lakh to 10 lakh will have to pay a tax of 20% which was earlier Rs. 8 lakh. This will leave more money in the hands of consumers and thus they can invest more in low cost housing."