SWAMIH to Provide Funding at 12% IRR
“Given the extraordinary circumstances, SWAMIH Investment Fund I shall now provide construction funding at a 12% IRR," informed Irfan A Kazi, chief investment officer, SWAMIH Investment Fund I. The Special Window for Affordable and Mid-Income Housing or SWAMIH Investment Fund I is being managed by SBICAP Ventures, a wholly-owned subsidiary of SBI Capital Markets Ltd. In November, the Union Cabinet had approved a special window fund to provide priority debt financing for completion of stalled housing projects that are in the affordable and middle-income housing sector. The government had said it would act as the sponsor and committed infusing up to ?10,000 crore. This fund would in turn would provide relief to developers that require funding to complete a set of unfinished projects and consequently ensure delivery of homes to the home-buyers. It had said as per industry estimates, 90% of the stalled projects are in the affordable and mid-income segment. The pandemic has now aggravated the slump.
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