By Lalin Fernandopulle
The demand for housing loans has increased remarkably following the move by the Central Bank to slash lending interest rates, Chairman, HDFC Bank, Siromi Wickramasinghe said.
The reduction in lending interest rates will help middle income families to obtain housing loans and improve their living standards. “The Bank will reduce interest on lending considering the area of the borrower to reduce the disparity in development. Development has been confined to the Western Province with less focus on regional growth”, Wickramasinghe said.
HDFC Bank has planned to charge 12 percent interest from customers in the Moneragala district which is one of the poorest districts in the country. The bank will reduce the lending interest rates for less developed regions in the country.
“The demand for housing loans in the North and the East has increased with the resettlement and reconstruction taking place in the region. HDFC is keen to a part of the development of the regions”, Wickramasinghe said. Housing finance development plays a significant role in boosting equitable economic growth and reducing poverty by helping households to build assets