Fullerton India Credit Co Ltd, a non-banking finance company, today said it sees huge opportunity in the affordable housing sector and is aiming Rs 500-600 crore disbursement in the first year of operations.
"We are planning to begin housing finance from November this year. There is huge opportunity in affordable housing segment as there is a six crore housing deficit. We will focus in this category," Fullerton India EVP and Business and Marketing Head Rakesh Makkar said here today.
Fullerton Housing Finance would begin operations with Rs 100 crore equity and aims Rs 500-600 crore disbursement in the full-first year operation of 2016-17, he added.
Makkar said the company is waiting for National Housing Bank's proposed subsidised housing loan scheme, expected over the next quarter.
"The lending rate under the scheme could be at 6-6.5 per cent and housing finance company's margin may be capped at 2-2.5 per cent. However, a volume game making lending in that scheme will be viable," he added.
Speaking about Fullerton India's outlook for the year, he said credit growth would remain strong at 30-35 per cent.
"We are not worried about rainfall deficit as the problem is only in limited pockets. We are targeting Rs 10,000 crore disbursement in the current fiscal against Rs 6,830 crore in the last fiscal," Makkar said.
Rural business accounts for 30 per cent of the total business for the NBFC.
