Realty stocks rise on dedicated affordable housing fund
Shares of a majority property developers rose after the government proposed setting up an affordable housing fund under the National Housing Bank (NHB).The 2017 budget had proposed to assign infrastructure status to affordable housing projects and facilitate higher investments.
“My government will also establish a dedicated Affordable Housing Fund (AHF) in National Housing Bank, funded from priority sector lending shortfall and fully serviced bonds authorized by the Government of India,” finance minister Arun Jaitley said during his budget speech on Thursday.
Brigade and Puravankara stocks were up about 1.6%% and 4.25% respectively while Phoenix Mills, run by Atul Ruia and Godrej were up 3.35% and 1.5% as well. In comparison, the Sensex pared gains made during the course of the budget and lost 58.3 points to close at 35,906, down 0.16%. The S&P BSE Realty Index was down about 1% at the end of the trade.