Real estate sector can be a growth engine for restarting economy says President of Credai, West Bengal

"We are happy that finance minister Smt Nirmala Sitharaman has announced the imposition of Force Majeure Ccause that will give real estate sector some breather to extend completion of the projects by another six months," said Mohta.

"We urge Prime Minister to announce financial package to revive the ailing real estate industry. Finance Minister has announced major sops for SME sectors. We are hopeful that the Finance Minister will announce some SOPs for the real estate industry and financial package for migrant workers in next few days, he said.

Mohta said that the announcement made by finance minister about extending time for completion of project under RERA, by three to six months, some relief in payment of Provident Fund, TDS and statutory compliance, are appreciated by the industry,

He also welcomed the additional fund flow available to NBFCs and housing finance companies, which will ultimately flow to MSME as well as housing projects.

Mohta said that the Real Estate sector is very important and can become the engine for restarting the economy, as such, there is much more to be done.

"We are expecting a reduction in interest rate. On one hand, the banks are parking their funds at Sub – 4 repo rate, but interest charged to us for loan against rental income, as well as construction  funding is 10 to 12 per cent. In these times, while we are not getting rents from our tenants, the interest should be substantially reduced," he said.

He said, "We are also  expecting some incentives for customers to buy real estate particularly housing and no GST and reduced stamp duty, reduced home loan rate could be a big incentive for people to buy homes, bring the real estate on track, which will help to create a lot of jobs and support to 300 industries."