Says Ravindra Sudhalkar, ED & CEO, Reliance Home Finance, “We welcome the proposal of NHB on increasing the capital adequacy ratio (CAR) for home finance companies. However, it should be noted that prudent home finance companies like Reliance Home Finance (RHF) have always maintained a higher CAR. Similarly lowering leverage levels by HFCs is a good move that will help control the over speeding sector. But regulators need to make easy availability of capital for HFCs with a strong balance sheet, as liquidity crunch is acting as a huge roadblock to the overall growth of the housing market. Going forward availability of capital will play a crucial role particularly if we have to achieve the government goal of housing for all by 2022.”