It has been decided to revise the limits on residential housing loans sanctioned by rural co-operative banks to an individual borrower as under:
| Category of the bank | Existing Limit (per individual borrower) | Revised Limit (per individual borrower) |
| (a) StCBs/DCCBs having assessed net worth less than ₹100 crore | ₹20 lakh | ₹50 lakh |
| (b) StCBs/DCCBs having assessed net worth equal to or more than ₹100 crore | ₹30 lakh | ₹75 lakh |
It has been decided to allow StCBs and DCCBs to extend finance to Commercial Real Estate-Residential Housing (CRE-RH) within the existing aggregate housing finance limit of 5% of their total assets. For this purpose, CRE-RH shall consist of loans to builders/developers for residential housing projects (except for captive consumption). Such projects should ordinarily not include non-residential commercial real estate. However, integrated housing projects comprising some commercial space (e.g. shopping complex, school, etc.) can also be classified under CRE-RH, provided that the commercial area in the residential housing project does not exceed 10% of the total Floor Space Index (FSI) of the project. Standard asset provision of 0.75% and risk weight of 75% shall be maintained for CRE-RH advances.
Banks shall have a Board-approved policy for financing CRE-RH and a review note on the performance of the CRE-RH portfolio shall be placed before the Board at least on a half-yearly basis.
The above instructions will come into effect from the date of this circular.
For Further : https://www.rbi.org.in/Scripts/NotificationUser.aspx?Id=12335&Mode=0
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