finance | IST

Expect 18-20% loan growth in FY22; affordable real estate segment to drive demand: Can Fin Homes

Can Fin Homes MD & CEO Girish Kousgi expects the real estate sector to perform well hereon which will be positive for housing finance companies. He believes the affordable segment would first see huge demand, followed by mid-segment then luxury and then the top end.

Housing finance company Can Fin Homes expects the second quarter of fiscal 2022 to be its best ever in terms of earnings, beating Q4FY21 due to strong demand across geographies and segments.
Speaking to CNBC-TV18, Girish Kousgi, MD & CEO, Can Fin Homes said he expects loan growth of 18-20 percent for FY22.
"In terms of the outlook for the industry, the next 2-3 years is going to be a dream run. And because of COVID-19, wave one and wave two, there was pent-up demand which is being carried forward. So we have large pent-up demand and then the actual demand will come back. So in terms of outlook, as a company, we look forward to growing at about 18-20 percent,” Kousgi said.
According to him, the real estate sector will perform well hereon which will be positive for housing finance companies. He believes the affordable segment would first see huge demand, followed by mid-segment then luxury and then the top end.
"That is what we have seen in the last many decades whenever this kinds of events happened, or there is a recession. So now we have seen affordable and mid-segment is doing extremely well. The next level, the high segment started doing well,” said Kousgi.
“Real estate sector has started doing well and it will last for next 5-6 years. So this will ensure that across all segments, sooner or later, this industry will do well, which will also help housing finance companies as long as they are able to maintain liquidity and profitability,” he added.
For the entire management interview, watch the video