Morning buzz: Delinquencies rising in low ticket home loans, rupee hits new low, and more
Here are the top business headlines this morning to get your day started
Low-income borrowers are facing issues with servicing home loans on account of rural stress and a fall in household savings.
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Delinquencies rising in low ticket home loans
Low-income borrowers are facing issues with servicing home loans on account of rural stress and a fall in household savings. There is also a repayment shock on account of rising interest rates. Affordable housing interest rates are usually 2-2.5 times NPA levels of usual housing loans. Affordable housing EMIs have risen by 20 percent due to a rise in interest rates to 13-14 percent.
(BusinessLine)Â
Two-wheeler makers offer up to Rs 50,000 of discounts Â
Two wheeler makers have started offering discounts ranging from Rs 2,500 to Rs 50,000 as they fear a slump in demand post the year-end sales season. According to the Federation of Automobile Dealers Association, dealers are sitting on 32-37 days’ inventory despite the fact that the industry clocked 21 percent sales growth in November. Electric two-wheeler makers are offering even bigger discounts.
(Financial Express)
Rupee hits new low
In advance of the Fed decision on interest rates, the rupee closed at a record low of Rs 83.40. The latest inflation print showed that the disinflation part continues to be rocky. As a result, the Fed in its meeting kept rates on hold. The dollar index, which measures the value of the dollar against six major currencies, also rose to 104.03.
