The trimming of Cash Reserve Ratio by the RBI has brought in a wave of hope in the realty industry, says RAJIV DOGRA. The recent announcement by the Reserve Bank of India (RBI) to slash the Cash Reserve Ratio (CRR) by 50 basis points (bps) or 0.5 per cent is being viewed as a step in the right direction. CRR is the proportion of deposits the banks have to keep in the RBI, which now stands at 5.5 per cent. The realty market remains hopeful that the cut by the central bank would prove to be a boon for the cash-starved industry. Says Sanjay Bajaj, Managing Director - Pune, Jones Lang LaSalle India: "The RBI has cut the cash reserve ratio for banks by 50 basis points in order to open up liquidity in the market, and this is a precursor to a reversal in the interest rate cycle. As such, it is positive development and brings a badlyneeded ray of hope to the real estate sector, which has been hit hard by the crippling interest rate regime which unfolded in 2011. Actual end-user benefits will be seen only when the repo and reverse repo rates soften. It is likely that this will happen by March, which could mean that fence-sitting property buyers will display more positivity by April." Similarly, Lalit Kumar Jain, National President - CREDAI and CMD, Kumar Urban Development Ltd, says, "The CRR cut will bring in liquidity. It will help the real estate market which is cash starved. However, it is important to see the interest rate that has to come down to facilitate the home seekers to buy homes." Endorsing similar views, Rohit Gera, Joint Managing Director, Gera Developments, points out that the cut of 50 basis points will surely bring liquidity in the market. "The move will rein in inflation and act as a stimulus to growth. However,for the real estate industry, there won't be immediate effect on borrowing, however, we could expect a reduction of interest rates in the months ahead," he adds. Moreover, this move will help the realty industry source funds available for existing and new projects. Atul Goel, MD, Goel Ganga Group believes that the RBI rule is definitely an encouraging step. "The RBI has ensured that it brings in a balance keeping in mind and encouraging the need for growth required for the real estate industry. This move would help to improve the liquidity position of the realty sector. The reduced interest rates will see in an enhanced increase in housing demand. The interest rates will come down in the next quarter. At the given point it's crucial that the interest rates must be balanced. This move is a positive step for the realty and infrastructure industry as it indicates that the RBI is also concerned about the nonavailability and high cost of funds," he says, adding that the policy will also help to ease inflation. Earlier, the central bank had hiked these key rates almost 13 times from March 2010 to October 2011. The present move to slash CRR has brought hope in the realty market who hope that the RBI will soon ease its stance against the tight monetary policy. QUICK BYTES THE RBI HAS CUT THE CASH RESERVE RATIO FOR BANKS BY 50 BASIS POINTS IN ORDER TO OPEN UP LIQUIDITY IN THE MARKET, AND THIS IS A PRECURSOR TO A REVERSAL IN THE INTEREST RATE CYCLE EXPERTS BELIEVE THAT THIS MOVE WILL HELP THE REALTY INDUSTRY SOURCE FUNDS AVAILABLE FOR EXISTING AND NEW PROJECTS
First of all I would like to thank you and the Gera team for organizing different workshops at our doorstep.
The best thing I have done to my kids is that I took a right decision to buy a flat in Gera.
Because of this decision , Vishnu could attend the development workshops that were conducted.
Vishnu was a shy child who didn't like to participate in any of the programmes.
As far as Dale Carnegie workshops is concerned it has given him a lot of confidence and was presenting things in a much better way and I can see a lot of improvement in him.In simple words u made a person(..
My son Tattva had been enrolled in the intermediate level and has been coached by the Vishwanathan Anand Chess Academy coach . Tattva has made remarkable strides and will be on his way to get his FIDE rating in November. A lot of credit goes to the mentor for his unique way of handling his students. He has been very patient while working with Tattva on his areas of improvement. In addition before the tournament the coach had voluntarily added additional classes and doubled his efforts to get a better performance out of Tattva. He has shown complete ownership which is commendable. I hope he continues to develop more and more chess players in the coming days...
It's a wonderful experience with the tennis academy and my daughter liked it. Also she is getting good training and love for the game.
The coaches are good and we would continue using their expertise for Nishita going onwards. We are also looking forward for signing (actually instrument) and dancing coaching too.
This is to share with you that both my little girls (Aditi Anisha) are really enjoying their Tennis classes at the Mahesh Bhupathi Tennis Academy.
I always find them very excited whenever there is TENNIS CLASS, and this excitement matters to both of us, as the kids seems to be interested.
It’s nice to see them constructively engaged, and coming home happy and having felt productive in their own child little way. It’s a great way for them to bond with other young ones and feel belonged to a larger community.
Thanks to You, Gera Developments and MBTA for giving our young ones, an opportunity for a wonderful learning experience.
Now they are looking forwar..
Regarding the workshops & different academy sessions, it has been wonderful experience so far for Shlok and we’re looking forward for the new opportunities.
It’s absolutely fantastic to have all these academies in the premises, and that too from the renowned personalities, so we can send kids without worrying about other factors like safety & all.
And most importantly, a big thanks to you for the lovely follow-ups & timely updates about the upcoming/ongoing sessions.