All the three industrial development authorities- Noida Authority, Greater Noida Authority (GNIDA) and Yamuna Expressway Authority (YEIDA) have been asked by the UP Government to reduce interest rates on land dues of builders in the wake of COVID-19 crisis.
Developers body NAREDCO and CREDAI have hailed the move as it will help relieve the builders at this tuff time. According to a letter sent by the UP Government to the authorities, if for the land dues payments which were to be cleared in the period between March 22 to June 30 even if the payment is made least by June 30 there will be no interest for delay and if the payment is submitted till September 20 only simple interest would be charged by the authorities and it calculating from March 22.
According to Supertech Chairman and President, Naredco UP, RK Arora, it’s a big relief. According to CREDAI NCR president Pankaj Bajaj, in the last four years the interest rate of land dues made most of the projects financially unviable and already there has been a slowdown. CREDAI has been requesting to make interest rate reasonable by linking it to MCLR.