How does the Real Estate Industry view the decision of RBI to maintain the repo rate at 5.5 % is a bid to spur growth –

According to Rajiv Agrawal, Promoter and Co-Founder, Saarathi Group, “The decision of RBI to maintain the repo rate at 5.5 % is a bid to spur growth. The status quo will provide crucial support to the ongoing wave of redevelopment projects across Mumbai. With no rise in cost of borrowing, real estate developers involved in cluster and society redevelopment can borrow cheaper capital enhancing the financial feasibility of complicated long-gestation projects for timely completion of projects. This stability promotes quicker execution, on-time project launches, and clears current inventory, making space for new housing supply in a city.

So for developers, the unchanged rate means easier access to working capital, greater investor confidence, and enhanced ability to navigate regulatory and input cost pressures. No change in the repo rate will also boost homebuyer sentiment, which is likely to spur growth in Mumbai’s real estate sector. We can expect more buyers to opt for homes in upcoming redevelopment projects. Overall, the RBI’s move strengthens the environment for Mumbai’s urban renewal, supporting its transformation through sustained real estate activity.”

“The RBI’s decision to maintain the repo rate at 5.5% comes as a timely boost for Mumbai’s redevelopment momentum, especially in high-potential zones like Bandra Reclamation, which is seeing luxury developments due to improved connectivity to Nariman Point and BKC. With borrowing costs remaining stable, it becomes more viable for developers like us to undertake large-scale, society-led transformations that demand significant capital and longer gestation timelines. This stability in rates encourages timely execution, supports investor confidence, and unlocks new housing supply. Homebuyers too are more confident, which reflects in growing interest in premium redeveloped homes with better infrastructure and connectivity. The status quo in monetary policy is, in many ways, a positive signal for Mumbai’s next wave of urban regeneration,” – Virendra Vora Promotor and Managing Director, Excel Infra Construction LLP