BHUBANESWAR: DWELLING at length on the role of housing as a 'growth driver', Harun R Khan, Deputy Governor, RBI, said that housing has been contributing continuously over the years towards country’s GDP. But, there has been lqw mortgage penetration in India at 7 per cent of GDP with scope for further improvement, he added.
Speaking at a workshop "State of Housing Sector-Odisha" organised to mark the inauguration of 10th Regional Representative Office (RRO) of National Housing Bank (NHB), an apex institution for housing finance in the country, try, here today, Khan touched upon issues relating to providing housing at affordable prices, such as finance, price of land, title of land, skilled man power and construction material.
Khan expressed confidence that the opening of the RIZO of NHB will bring effective coordination and
awareness among the various stakeholders in achieving the objective of providing affordable housing.
NHB continues with its advocacy role in the State and should be ,involved in dissemination of products like Reverse Mortgage Loan (RIVIL), training programmes for the Financial Institutions and SL,BC Meetings of the State, Rural Housing Credit, etc., he observed.
The other issues that were touched upon by Khan were urbanization, rent-to-price of Land, role of real estate regulator, role of financial institutions catering to the formal, informal and unorganized sector and External Commercial Borrowings for Affordable Housing, etc.
National Housing Bank (NI3B), an apex institution for housing finance in the country, aims at strengthening the housing finance system at the local and state levels through its newly opened Regional Representative Office (RRO;i.
Speaking on 'the occasion, RV Ver,ma, the Chairmaan and
Managing Director of NHB, highlighted the background of setting up of the bank and lauded the efforts of the state government for its policy in the housing sector and creating an enabling environment for growth of the affordable housing sector.
"The opening of the Bhubaneswar Regional Representative office will help in addressing the affordable housing issues in the, State. The Office will act as a platform to begin a series of dialogue and engagement of all stakeholders towards a common goal of 'Housing forAll,"' he added.
Stating that there has been a growing demand for housing finance over the years, Verma said there is a need to revamp the credit delivery system of the State where NHB can play a positive role in implementing policies and programmes of the State.
He added that NHB is administering some Central Government Schemes like Credit Risk Guarantee Fund Trust for Low Income
Housing while 37 Primary Lending Institutions have entered into an agreement with the Trust which covers the risk of loans upto Rs 5 lakh. NHB is also administering the Rural Housing Fund which has received an allocation of Rs 6000 crore in the current budget, he added.
Injeti Srinivas, Development Commissioner and Additional Chief Secretary, the Government of Odisha; highlighted the demand and supply gap of housing stock in the State and underscored the need for a focused approach to address the housing needs of the urban poor, whose population have considerably increased in the past few years due to large scale urban migration.
Highlighting some of the key measures taken by the State Government in addressing the housing issues, he said that there is a need for an inclusive financial support to the lower income segments of the population by the primary lending institutions.
Notably, the premier banking institution set up in 1988 has been working dedicatedly for development of the housing finance system on sound, viable and sustainable lines.
NHB's initiatives and programmes have reportedly resulted in significant growth and expansion of the housing finance sector catering to the needs and requirements of all segments of the population covering all the States and union territories in the country.
Officials of the Central and State Governments, RBI, Banks, Housing Finance Companies, Regional Rural Banks, Housing Boards, Development Authorities, IFC, DFID, CREDAI and MFIs spoke on various aspects of housing finance.