DHFL set to resume lending in next few weeks
Dewan Housing Finance, which is under administration, is setting aside a part of its regular monthly recoveries on previous retail advances to resume lending after a seven-month gap and stay relevant in a business that involves earning interest on funds loaned.
Resumption of normal business operations, albeit on a smaller scale, is aimed at strengthening DHFL’s credentials as a ‘going concern’ and eventually helping secure better valuations at the closure of the ongoing resolution process.
Central bank- appointed administrators at DHFL have decided to lend about Rs 500 crore every month beginning the next few weeks, two people with direct knowledge of the matter told. DHFL is estimated to have net monthly inflows of about Rs 800 crore.