The country's largest home loan player HDFC on Wednesday said that it may have to raise lending rates further if the Reserve Bank of India (RBI) increases key policy rates in the forthcoming monetary policy review on July 29. HDFC has been arguing that the effective borrowing cost is a little over 5 per cent if the tax benefits are included.
Giving their presentation at the CLSA investor forum, HDFC chairman Deepak Parekh, vice chairman and chief executive officer Keki Mistry and MD Renu Karnad highlighted that the competitive environment has been stable and HDFC can deliver 18-20 per cent loan growth with stable margins and asset quality.
"Cost of funds is still high, so once it comes down, we will reduce interest rates," HDFC chairman Deepak Parekh said. Parekh's comments came two days after Finance Minister P Chidambaram said 'competition from PSU banks will force lenders in private sector to cut interest rates sooner than later'.
India's leading housing finance company HDFC on Monday said that it would offer special rates to developers selling on carpet area basis instead of super built-up area.
We will continue to grow at 25 per cent -- we can't handle more than that.
The change comes into effect from Monday, a HDFC spokesperson told PTI in New Delhi. This reduction will be on fresh loans and applicable to all disbursements up to October 31.
Speaking on the sidelines of an AIMA summit in Kolkata on Thursday, HDFC chairman Deepak Parekh said there was a possibility of lending rates going up, as the cost of deposits was rising.
HDFC Ltd chairman Deepak Parekh on Thursday blamed the Rs 400-crore (Rs 4-billion) Citibank fraud to absence of specific guidelines for wealth management and expected regulators to come out with norms in this regard.
Housing Development Finance Corporation Ltd has sold its 50 per cent stake in Intelenet Global Services Ltd, a business process outsourcing company, to Barclays Bank Plc for Rs 164 crore (Rs 1.64 billion).
State Bank of India's decision to freeze home loan interest rates at 8 per cent for a year has stirred a controversy with the country's largest mortgage player HDFC on Tuesday terming the move as a 'gimmick'. SBI executives retorted by saying that the package was not a 'teaser rate', as HDFC chairman Deepak Parekh described the move.
Housing Development Finance Corporation said on Wednesday the interest rates on home loans will not go up till March 2005, subject to developments in the financial markets.
Housing Development Finance Corporation is to raise the interest rate on its home loans across all maturities by 0.50 per cent after Diwali.
Housing Development Finance Corporation, a key home loan lender, on Monday said it is likely to increase interest rates by up to 100 basis points (bps) - 1% later this week.
Mortgage firm HDFC Ltd on Wednesday announced sale of a 10 per cent stake in its private equity arm HDFC Capital Advisors to a wholly-owned subsidiary of the Abu Dhabi Investment Authority (ADIA) for about Rs 184 crore. ADIA is also the primary investor in the alternative investment funds managed by $3 billion-HDFC Capital. Set up in 2016, HDFC Capital is the investment manager to HDFC Capital Affordable Real Estate Funds 1, 2 and 3; and is aligned with the government's goal to increase housing supply and support the Pradhan MantriAwas Yojana - 'Housing for All' initiative, HDFC Ltd said in a statement.
From the Sensex pack, State Bank of India, HDFC, Axis Bank, HDFC Bank, Bharti Airtel, Kotak Mahindra Bank, ICICI Bank, Tata Motors, NTPC and Bajaj Finserv were the major gainers.
The real estate sector had been going through a rough phase even before the COVID-19 crisis, marked by falling sales and piling up of inventories.
Having successfully executed the merger with parent HDFC, HDFC Bank's managing director and chief executive Sashidhar Jagdishan on Saturday said the country's largest lender aims to double every four years. In a letter to the over 4,000 employees from HDFC who joined the bank's rolls on Saturday, Jagdishan said the future is bright, and the work on realising the potential of the merger starts now. "The runway for financial services and mortgage, which are so underserved and under penetrated, is going to be very large. HDFC Bank - the combined entity - with a large and growing distribution and customer franchise, more than adequate capital, healthy asset quality and profitability, will be best positioned to capture growth.
Raising concern about over-dependence of Indian capital markets on foreign institutional investors, eminent banker Deepak Parekh has said that something needs to be done to change this pattern.
At India Economic Convention organised by India Foundation, Parekh said the country needs $1 trillion in the 12th Plan of which 47 per cent was to come from private sector, but it has not happened in the first two years of the Plan period.
Housing Development Finance Corporation (HDFC) Chairman Deepak Parekh on Tuesday said that interest rates may rise owing to higher inflation, but lending rates are unlikely to change in the next one month.
Economists advise against it, citing international experiences; business leaders say RBI should allow move for inclusive growth.
The merged entity will have a combined market share of 6.4 per cent in the non-life insurance industry with 308 branches in the country. The deal is subject to regulatory approvals and the entire process is expected to be completed in nine months.
The government does not see any conflict of interest in HDFC chairman Deepak Parekh and former Nasscom President Kiran Karnik, who are directors on the board of Satyam's competitors, being on the troubled company's board.
On the current liquidity crunch, the HDFC chief said that it was on account of certain cash outgo due to tax and 3G payments but the liquidity position is likely to improve by end-July.
A civilised society depends on having the greatest possible number of people who have a stake in society. Being a homeowner gives one a secure and direct stake in society; so that is the goal we need to work towards.
The banking industry is hoping for more rate cuts by the Reserve Bank, which in turn, will help soften both deposit and lending rates, a top financial industry expert said.
A key player in the home loan market, HDFC on Thursday said it would hike housing loan rates by another 0.50 per cent this month-end or early March.
Puri gave up the comforts of Citibank to set up a new-age bank from a rat-infested room in the Kamala Mills Compound in Worli, Mumbai and build a marquee brand. A look at his 26-year stint as HDFC Bank's boss.
BJP had attacked previous UPA govt over policy paralysis.
Dr Ashok Ganguly, former chairman of Hindustan Lever and a Rajya Sabha MP, and one of the signatories to the recent open letter to the government by a group of 14 eminent people, speaks about the issues raised in the letter.
Private players may soon be roped in for developing slums under the Manmohan Singh government's ambitious Rajiv Awas Yojna.
The six-member board -- comprising HDFC chairman Deepak Parekh, former Nasscom president Kiran Karnik, former Sebi member C Achuthan, CII chief mentor Tarun Das, renowned chartered accountant TN Manoharan and LIC nominee Suryakant Balakrishnan -- met in Hyderabad on Thursday for the third time after it was constituted January 12.
Broader sentiment of lack of transparency bothers most in India Inc.
President A P J Abdul Kalam presented the awards at a function at the Ashoka Hall of the Rashtrapati Bhavan.\n\n
The government is likely to appoint more directors on the board of the crisis-ridden Satyam Computer Services soon. "More directors will be appointed within two days," a senior official of the Ministry of Corporate Affairs said.
Expressing shock over the terrorist attack in Mumbai claiming about 100 lives, the Indian industry on Thursday demanded tougher laws along with 'stronger and firmer' leadership to tackle terrorism.
HDFC chairman Deepak Parekh on Monday said that he expected property prices to come down by 20 per cent in the next six months even as there is an upward pressure on interest rates.
If the Bhopal judgment results in independent directors and CEOs/plant managers waking up to their responsibilities, that can only be a good thing.
The government today expanded the three-member Satyam board to six to include S Balakrishnan of Life Insurance Corporation, Tarun Das, chief mentor of the Confederation of Indian Industry and T N Manoharan, former president of the Institute of Chartered Accountants of India.
Apart from navigating the bank through the Covid crisis, Jagdishan may also have to deal with the latest development on the auto loan lending practice scam. He will be expected to deliver consistent profit growth of 20 per cent-plus quarter after quarter, irrespective of the operating environment.
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