Hyderabad, Apr 6 (TNT): Industry experts on Monday said the Reserve Bank of India is likely to keep interest rates unchanged while closely monitoring the impact of the ongoing conflict in West Asia on the macroeconomic environment.
In a statement, Umesh Gowda H.A., Chairman and Founder of Sanjeevini Group, said housing demand remains resilient and a stable interest rate regime would support the sector.
However, he cautioned that prolonged geopolitical tensions could make developers adopt a more cautious approach, prioritising project execution and delivery.
In a separate statement, Ankur Jalan, CEO of Golden Growth Fund, said uncertainty may lead to moderation in investor-driven housing markets, with investors increasingly shifting towards financial instruments such as alternative investment funds for better diversification and lower risk exposure.
He noted that this could improve liquidity in structured investment vehicles while prompting developers to rely more on institutional funding and partnerships.
Lalit Parihar, Managing Director of Aaiji Group, said maintaining a status quo on rates would be prudent amid global uncertainties.
He added that investors may prefer relatively safer real estate assets, such as plotted developments, which are less sensitive to interest rate fluctuations.
Experts said the coming months will be crucial in determining market trends, as geopolitical developments and monetary policy decisions continue to shape investor sentiment and housing demand.
TNT KS
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