NAREDCO demands one-time loan restructuring for stuck realty projects
Real Estate

NAREDCO demands one-time loan restructuring for stuck realty projects

National Real Estate Development Council (NAREDCO) has urged the government for a one-time restructuring of loans and last-mile funding for stalled realty projects to rescue the real estate sector from the liquidity crisis caused by Covid 19.

In this regard, a delegation of developers’ bodies led by the Chairman of NAREDCO-Uttar Pradesh R K Arora met Finance Minister Nirmala Sitharaman.

The delegation demanded extending the suspension of some provisions of insolvency law by a year more.

NAREDCO submitted a memorandum containing several expectations of the real estate sector from the government to meet the challenges caused by the pandemic.

Arora told the media the delegation informed the finance minister about the liquidity crisis in the real estate sector due to the Covid 19 pandemic.

The statement said that all the real estate projects are on the edge of collapse, and unless the government supports the sector, the project implementation will come to a halt.

NAREDCO urged Sitharaman to direct the Reserve Bank of India (RBI) to implement a one-time rollover or restructuring of project loans disbursed by banks and financial institutions.

The delegation also discussed the requirement for last-mile funding to finish the stalled realty projects as there are more than 4,000 projects which need such funding.

Since the existing lenders are not releasing their charge against existing loans and not giving no objection certificate (NOC), the developers are deprived of the advantage of the declared Stalled Affordable and Middle-Income Housing Projects (SWAMIH) alternative investment fund, as per the statement.

Image Source


Also read: Maha govt offers double bonuses to builders for redevelopment projects

Also read: NAREDCO seeks govt intervention to check rising prices of raw materials

National Real Estate Development Council (NAREDCO) has urged the government for a one-time restructuring of loans and last-mile funding for stalled realty projects to rescue the real estate sector from the liquidity crisis caused by Covid 19. In this regard, a delegation of developers’ bodies led by the Chairman of NAREDCO-Uttar Pradesh R K Arora met Finance Minister Nirmala Sitharaman. The delegation demanded extending the suspension of some provisions of insolvency law by a year more. NAREDCO submitted a memorandum containing several expectations of the real estate sector from the government to meet the challenges caused by the pandemic. Arora told the media the delegation informed the finance minister about the liquidity crisis in the real estate sector due to the Covid 19 pandemic. The statement said that all the real estate projects are on the edge of collapse, and unless the government supports the sector, the project implementation will come to a halt. NAREDCO urged Sitharaman to direct the Reserve Bank of India (RBI) to implement a one-time rollover or restructuring of project loans disbursed by banks and financial institutions. The delegation also discussed the requirement for last-mile funding to finish the stalled realty projects as there are more than 4,000 projects which need such funding. Since the existing lenders are not releasing their charge against existing loans and not giving no objection certificate (NOC), the developers are deprived of the advantage of the declared Stalled Affordable and Middle-Income Housing Projects (SWAMIH) alternative investment fund, as per the statement. Image Source Also read: Maha govt offers double bonuses to builders for redevelopment projects Also read: NAREDCO seeks govt intervention to check rising prices of raw materials

Next Story
Infrastructure Energy

Sri Lanka Adani Power Deal Still on as Government Confirms Lower Costs

The Sri Lankan government is engaged in negotiations with India’s Adani Group to reduce the cost of power from two wind power projects planned for the country’s Northern province. These discussions are part of a broader effort to ensure affordable and sustainable energy production as the nation works towards stabilising its power sector. The projects, backed by an investment of $442 million from the Adani Group, are expected to generate 500 MW of renewable energy. This initiative aligns with Sri Lanka’s long-term strategy to enhance its renewable energy capacity, reduce dependence on f..

Next Story
Infrastructure Energy

Hygenco Green Energies Pre-certified for RFNBO Ammonia Exports

Hygenco Green Energies is preparing to export green ammonia from India to Europe after securing Renewable Fuel of Non-Biological Origin (RFNBO) pre-certification from Bureau Veritas under the CertifHy scheme. This certification, officially recognized by the European Commission, facilitates access to green or low-carbon hydrogen for end-users across the EU. The CertifHy scheme provides a structured framework for certifying renewable hydrogen and e-fuels, ensuring compliance with EU regulations and international standards. Hygenco's upcoming green ammonia plant, located at Tata Steel’s Spe..

Next Story
Infrastructure Transport

11 NH Projects in Telangana Stalled over Pending Forest Clearance

As many as 11 National Highway projects in the state have been stalled due to the lack of forest clearance from the central government. The state government is coordinating with the Union government to secure the necessary environmental approvals. Efforts are underway by the state government, the Ministry of Road Transport and Highways, and the National Highways Authority of India (NHAI) to compile and submit all required details to the Ministry of Environment, Forest and Climate Change (MoEF&CC) for approval. Chief Minister A Revanth Reddy recently discussed the issue with Union Forest an..

Hi There!

"Now get regular updates from CW Magazine on WhatsApp!

Join the CW WhatsApp channel for the latest news, industry events, expert insights, and project updates from the construction and infrastructure industry.

Click the link below to join"

+91 81086 03000