Housing Development Finance Corporation (HDFC) has made a commitment to invest Rs 250 crore in the government-led special fund to revive stalled real estate projects. The realty sector's revival hinges a lot on banks, which are reluctant to lend to stalled projects due to regulatory issues. HDFC has been going slow on project loans for the last four to five quarters, but it is focusing on the individual loans segment with the same vigour as before.
As part of its measures to boost growth, the government had in November 2019 announced a Rs 25,000 crore package for the real estate sector, including a corpus to help stalled projects. SBI Caps, which is managing the fund, had announced the first close of the fund with Rs 10,530 crore commitments from investors, including HDFC.
HDFC offers a whole gamut of products like loans to individuals, loans to corporates, construction finance, and lease rental discounting. The financial conglomerate has subsidiaries and associates in insurance (general and life), asset management, education finance, venture funds and banking services.
