Debt, Debt, Debt……Everywhere !!
Debt, Debt, Debt……Everywhere !! The four letter word that everyone loathes today is DEBT. Whether it is retail borrowings, industrial credit or loan to developers, debt has occupied the top of the mind discussions as demonetisation had done in November 2016. It is commonly believed that the biggest concern comes from real estate sector. And while identifying the reasons for high indebtedness in real estate, oversupply, economic slowdown and developer’s greed are believed to be the key factors. Unfortunately they only happen to be the more obvious reasons. Oversupply and economic slowdown lead to mismatch between Demand and Supply - for which most developers have contingency plans. And as far as developer’s greed is concerned, when were developers not greedy ? So even these are insufficient explanations to the quantum of debt within the sector. What has actually caused this humongous debt in the structural shift in the core pillar of the real esta