LICHFL sets target of Rs 8200 crore towards sanction

Chennai, Aug 12 (UNI) The LIC Housing Finance Limited (LICHFL) has set a target of Rs 8200 crore towards sanction and Rs 7750 crore disbursement during the current fiscal, its Director and CEO S K Mitter announced today.

Addressing a press conference after inaugurating a mega property fair ''Ungal Illam'' here, he said 20 per cent of the target had already been achieved on July 31 by according sanctions to the tune of Rs 1575 crore. The disbursements were Rs 1500 crore till July this year.

The company had been growing at a rate of 25 to 30 per cent over the last few years, as against the home loan Industry rate of 35 per cent over the last five years.

To a question, he said the company was planning to bring down the gross NPA from 3.8 per cent (Rs 508 crore) to one per cent by 2008.

About the LIC Care Housing under which houses were built for senior citizens, Mr Mitter said the project was a big success in Bangalore where 100 hosues were constructed and handed over to the owners.

He said the scheme would be extended to other states and cover all parts of the country. ''In the second phase, the project will commence at Bhubaneswar in Orissa, where the lands have been acquired from the Government. Talks were in an advanced stage with Kerala and Rajasthan government in this regard'', he added.

Replying to a question, he said the company might also consider taking the Public deposit route. ''We have not taken this route so fat. Perhaps, after two to three months we will be able to decide on it'', he added.

He said the southern region comprising Tamil Nadu, Kerala and Pondicherry, constitutes about 25 per cent of the total business.

About the property fair, LICHFL Regional Manager V Satyakumar said about 45 builders have put up 55 stalls in the fair which would be open till August 15. ''We expect sanctions to the tune of Rs 100 crore during the fair''.

As a special one-time offer, the company would provide 0.25 per cent reduction in interest rates with concessions in processing fee while giving on the spot sanction during the property fair.

UNI GV AJ 1753