The revised norms are likely to nudge HFCs to borrow more from the money market, which could increase the borrowing cost by 20-30 basis points.
In the revised norms announced in August last year, the central bank reduced the ceiling on the quantum of public deposits by deposit-taking HFCs from three times to 1.5 times of net-owned funds.
The reduction of the limit by RBI will impact the ability of the housing finance companies to raise deposits.
This story is from the January 02, 2025 edition of Financial Express Pune.
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This story is from the January 02, 2025 edition of Financial Express Pune.
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