Keki Mistry, Vice Chairman & CEO, HDFC, says the NBFC will maintain its 20 percent stake in HDFC Bank.
Keki Mistry, VC & Chief Executive Officer (CEO) of HDFC said the Reserve Bank of India (RBI) still has elbow room to cut rates further.
Mistry says the RBI may have leeway to cut interest rates by 50-75 basis points over the next one year, but much will also depend on how global events play out.
The maximum amount of money which a bank raises, goes directly into the power and housing sectors, Prithvi Haldea, Chairman, Prime Database told CNBC-TV18.
B Sriram, managing director and group executive national banking, SBI expects the home loan portfolio to grow by 18 percent in FY16. According to him, competition in the home loan space has been rather intense.
In an interview to CNBC-TV18, Amitabh Chaudhry, managing director and chief executive officer, HDFC Lifesays the company‘s stake sale to Azim Premji Trust is is in no way a pre-initial public offer (IPO).
It is yet premature to judge the performance of the new government but they are slowly moving in the right direction, said Deepak Parekh, chairman, HDFC.
In an interview to CNBC-TV18, Keki Mistry clarified that HDFC would like to maintain its stake in the bank and that the company board will decide whether its needs to change the stake pattern.
Keki Mistry, vice-chairman and chief executive officer of HDFC says in another quarter or two, credit growth will take off. Traditionally, credit offtake is highest in the fourth quarter, he adds.
Puri feels that it is dangerous for banks to grow fast when the economy is slowing as it can result in higher non-performing loans.
Cases such as the Karnataka HC annulling the Diageo acquisition or the Jet-Etihad deal getting into trouble despite earlier regulatory approvals affect investor confidence in India, HDFC Chairman Deepak Parekh told CNBC-TV18.
HDFC has always talked of a loan growth of around 18-20 percent. Since it has seen much higher growth in the past, Keki Mistry Vice Chairman & CEO hopes to grow at a higher rate.
Any plan where the bank disburses money upfront and leaves it to the builder to complete the project is fraught with risk, explains HDFC's Keki Mistry.
HDFC's Keki Mistry believes that RBI measures are temporary in nature and will not warrant a rate hike. As far as its fund requirements are concerned, the housing major maintains a flexible approach and has shored up it requirements up to the month of July.
HDFC's Keki Mistry believes RBI is unlikely to reduce policy rates in its July policy. But higher current account deficit and free fall in the rupee's rate against the US dollar would weigh on the RBI's policy decisions, he says.
Keki Mistry said HDFC will target individual loan growth of 18-20 percent over a sustained period of time on an annually compounded basis. It might however, be a little higher or lower in certain years. Additional tax benefits on home loans will also push housing growth in FY14, says vice-chairman and CEO – Keki Mistry.
HDFC is unlikely to cut its interest rates following RBI's policy rate cut of 25 bps. "Unless borrowing cost comes down and liquidity eases, rate cuts are unlikely to happen," Keki Mistry, chief executive officer, told moneycontrol.com.
The National Housing Bank (NHB), the regulator for housing finance companies in India is ramping up its efforts on affordable housing, typically priced below Rs 25 lakh. It has almost finalised the scheme for Urban Housing Fund (UHF) of Rs 2,000 crore, recently announced in the Union Budget 2013.
Keki M Mistry, VC and CEO, HDFC explains on CNBC-TV18 that there is an increased likelihood of a RBI cut in rates in January 2013 and across India, realty prices have moved in line with inflation.
Keki Mistry, Vice Chairman & CEO of HDFC however, feels that borrowing rates will not go down.
Keki Mistry, vice chairman and chief executive officer, HDFC told CNBC-TV18 that the slew of reforms announced the government are very positive and have helped India avoid the possibility of a downgrade.
India's top mortgage lender Housing Development Finance Corp fell 1.7 percent in pre-open trade as US private equity firm Carlyle Group is set to sell a 3.7 percent stake to raise as much as USD 861 million, according to a term sheet.
Keki Mistry, vice chairman & chief executive officer, HDFC, says that the downgrade fear is exaggerated.
Keki Mistry, vice-chairman and CEO, HDFC clarifies to CNBC-TV18 that the cut in weightage is inaccurate and plans to talk to MSCI about reversing the cut.
The quantum of Reserve Bank of India (RBI)‘s latest repo rate cut has not just surprised market watchers but even veteran bankers like Deepak Parekh.