Atlast the banks have taken the cue from RBI's credit policy and have slowed down their lending to Real Estate and Retail sectors. The banks have been advised to rebalance their folio such that their lending to small and medium enterprises and farm sector takes off.Sucheta Dalal has warned that the realty bubble can spoil the growing economy of India. Sucheta warns that FIIs are illegally investing heavy sums of money into NBFCs and companies registered in Mauritius that have significant interest in the Indian Real Estate sector.
We have been telling from day one that India needs manufacturing base to grow and not unrealistic Real Estate or Lands Sharks to build SEZs . The Economic Times has an article which says what we have said 6 months ago and they further add that 70% of Chinese exports are by Small and Medium sized enterprises. However, in India, the small and medium enterprises have no scope from the Government as the commerce ministry is busy clearing SEZ proposals of Land Sharks instead of focusing on developing industries that can export.
Commerce ministry is not copying the Chinese model in its entirety but just the SEZs fined tuned to suit Rich Indians which can be dangerous to the Indian economy.
Tags: SEZ India, Realty India, REIT, Land Bank
No comments:
Post a Comment