The coronavirus pandemic is deepening the troubles of the real estate sector and this time, HDFC Ltd may not be able to escape this entirely.
India’s largest housing finance company saw both its bad loan ratios and its loan growth get impacted in the March quarter. Non-performing assets (NPAs) as a percentage of the loan book increased to 1.99%, with pressure on both individual and non-individual loan book.
Indeed, bad loan ratio for the individual loan book rose to 0.95%, the highest in many years. Keki Mistry, vice chairman and chief executive officer (CEO) attributed this surge to inability to recover money from borrowers owing to the lockdown. “3% of our borrowers require to be physically contacted for repayments, we meet them for