'RBI policy does not meet real estate sector expectations'

Confederation of Real Eastate Developers' Association of India (CREDAI) has expressed disappointment over the Reserve Bank of India's (RBI’s) decision to cut repo rate by 'just' 25 basis points. It said that the Central bank appears to be missing opportunities time and again. Lalit Kumar Jain, National President of CREDAI said that the builders body has over 10,000 members across 20 cities pan-India.

He said that inflation could well be curbed by giving a big boost to production and flooding market with supplies. It is not a prudent policy to risk anarchy through a tight monetary policy. The developer community, according to Jain, was hopeful that the RBI too will soften its stand and help the sector revive. But the continued stubborn approach of RBI is shocking, he added.

Jain said the mid-quarter monetary policy is by and large uneventful since it does not take into consideration of the real estate sector that contributes handsomely to the GDP.