CREDAI President Boman Rustom Irani Welcomes RBI’s Rate Decision, Eyes Further Reductions

Boman Rustom Irani’s Views on RBI’s Latest Move

Boman Rustom Irani, President of CREDAI (National), shared his thoughts on social media, expressing appreciation for the Reserve Bank of India’s (RBI) decision to keep the repo rate unchanged at 6.5% for the 11th consecutive time. He believes this decision will benefit the real estate sector by providing stability and predictability, crucial factors for both developers and investors.

Stability Fosters Confidence in the Market

Irani emphasized that maintaining the current repo rate helps prevent abrupt changes, offering a more stable environment. This move supports developers, who rely on a predictable rate structure to plan and execute projects. The stability also reassures investors, making the real estate market more attractive in the long run.

CRR Reduction Brings Liquidity Boost

Another significant development came with the RBI’s decision to reduce the Cash Reserve Ratio (CRR) from 4.5% to 4%. This change releases INR 1.16 lakh crore into the economy, which enhances liquidity and improves credit availability. The increase in liquidity is expected to benefit both developers, who will have better access to financing, and homebuyers, who will enjoy more favorable loan conditions. These measures should help sustain demand in the housing market and maintain momentum in real estate investments.

Looking Ahead: Hope for Further Repo Rate Reductions

Irani remains optimistic about the future of the real estate sector. He hopes that the RBI will consider further reductions in the repo rate. A lower rate would make homeownership more affordable for buyers and stimulate growth across the real estate market. This could create a more favorable environment for both residential and commercial property investments.

Positive Outlook for the Real Estate Sector

Irani’s social media post reflects his optimistic outlook on the real estate sector, bolstered by recent RBI decisions. He believes these measures will support housing demand and create favorable conditions for long-term growth in India’s real estate market.