The Ancient Times
SBI signs $274mn Agreement With KfW For Affordable Housing
Report by :Pradip Bhattacharya
The State Bank of India (SBI) and the German KfW Development Bank concluded $274 mn or Rs 2,800 crore loan facility to support lending for affordable housing in India. The promotional loan has a maturity of 15 years, Mr. Siddharth Sengupta, Deputy Managing Director signed agreement behalf of SBI while KfW was represented by Dr. Norbert Kloppenber, a member of the Executive Board and Roland Siller, Member of the Management Committee of KfW Development Bank.
The focus areas for housing loan would be for Economically Weaker Sections (EWS) and Lower Income Group (LIG) households. With its focusing loans for economically weaker section (EWS) and lower income Group(LIG), household, the facility designed to complement the Government of India’s flagging affordable housing programme, the Pradhan Mantri Awas Yojana. These lower income household categories account for 9.5% of the estimated shortage of 20 millions housing units in the country.
‘’ Sustainable mortgage loans of lower income families to purchase, build or upgrade their homes are critical for inclusive growth and development partnering with India;s largest bank on this mission provides a tailor-made platform for the quick calling of housing fiancé for this segment,’’ said Dr. Kloppenburg on the occasion.
Mr. Sengupta said, “SBI is committed to supporting Government’s mission of Housing for All and this facility will be an additional impetus to support this mission.”