Winning Bizness Desk

Mumbai. Now the interest on Home Loan is higher than before as the Reserve Bank of India has revised the Repo Rate several times. Therefore, the interest on home loan has also become higher than before. After the hike in interest rates, the largest public sector bank SBI is considering launching a scheme. Home buyers in the GreenHouse project will get a discount of 10 to 25 BPS in the interest rate. State Bank of India (SBI) will encourage borrowers to purchase units in green housing projects (Green Home Loan Scheme) under this scheme. According to a report, the bank will offer a discount of 10-25 basis points (BPS) on interest rates under the scheme. SBI had earlier launched a similar home loan scheme, but discontinued it in 2018. Now the State Bank of India is thinking of re-launching the same scheme, according to a Mint report.

Eco friendly house plan started

In the financial year 2009-10, the lender launched the 'SBI Green Homes' initiative to encourage developers to set up eco-friendly housing projects, as disclosed in their annual report. According to the bank, the proposed scheme is to assess environmental, social and corporate governance or ESG compliance of builders and offer affordable loans to home buyers. For retail customers, the discount will be 9.15 percent based on the existing external benchmark lending rate. Meanwhile, in February, SBI completed a $1 billion syndicated social loan, which included a green shoe option of $500 million and another $500 million. SBI's plan to reintroduce green home loan products emphasizes the growing demand for sustainable housing development.