Real Estate Leaders Urge RBI to Cut Rates for Festive Boost

Credai urged the Reserve Bank of India (RBI) to lower interest rates to boost housing demand during the festive season. The RBI maintained the current rate but shifted to a neutral stance, hinting at possible future rate cuts. Industry leaders see a rate cut as crucial for economic growth.

In a push to stimulate the housing market during the festive season, the apex real estate body Credai has called on the Reserve Bank of India (RBI) to lower its key interest rates. Despite expectations, the RBI kept its rates unchanged, opting instead for a shift to a neutral policy stance.

Credai National President Boman Irani expressed disappointment, noting that the unchanged repo rate of 6.5% represents a missed opportunity. A rate cut could have potentially bolstered consumer demand across various industries during this critical time, he remarked.

Recognizing the potential for economic impact, Naredco President G Hari Babu also urged a rate reduction in the next Monetary Policy Committee (MPC) meeting, emphasizing its importance for housing demand and investment in real estate.

(With inputs from agencies.)