Over 62 per cent or approximately USD 58 billion of the total loan advances (USD 93 bn) to Indian real estate by banks and NBFCs/HFCs is currently completely stress-free, reveals a study by ANAROCK Capital. Another 22 per cent (approximately USD 21 billion) is under some pressure but can potentially be resolved. In fact, the stress on this segment is largely on recovery of interest and not on principal amount.
It may be true that ‘when the going gets tough, the tough gets going,’ but this doesn’t hold true for the Indian real estate sector currently. The ongoing NBFC crisis post IL&FS default has made things even more difficult for developers.
The ongoing Non-Banking Financial Companies’ (NBFC) cash crunch can hit close to home as it could have a cascading impact on the somewhat improving residential real sector. This is primarily because for last few years, developers had been availing term loans from NBFCs and Housing Finance Companies (HFCs) and any turmoil in the latter is bound to impact the Indian realty industry.
As the price of high Global Warming Potential (GWP) refrigerants increases and regulations become tougher, Danfoss, a leader in the HVACR sector, is continuing its annual Refrigerant Week initiative to help industry professionals and decision-makers make the transition to lower-GWP refrigerants.