Two realty stocks, namely NBCC India Ltd and Housing & Urban Development Corporation Ltd (HUDCO), extended their sharp upward move in Friday's trade. Rally in these two said counters came after Union Finance Minister Nirmala Sitharaman, in her Interim Budget 2024 speech, mentioned that the Centre will launch a scheme to help deserving sections of the middle class "living in rented houses, or slums, or chawls and unauthorized colonies" to buy or build their own houses.
NBCC shares today surged 18.23 per cent to scale a fresh one-year high of Rs 167.95, taking their winning run to the seventh straight session. The multibagger stock has gained more than 100 per cent in 2024 so far.
In case of HUDCO, the scrip soared 10 per cent to hit its upper circuit limit of Rs 226.95. The stock has gained over 70 per cent on a year-to-date (YTD) basis.
FM Sitharaman also spoke of the PM Awas Yojana and said 2 crore houses will be taken up in the next five years. "Despite the challenges due to Covid, implementation of PM Awas Yojana (Grameen) continued and we are close to achieving the target of three crore houses. Two crore more houses will be taken up in the next five years to meet the requirement arising from increase in the number of families," she said.
Experts lauded the fresh push for the housing sector in this year's Budget, saying it will aid the real estate sector.
"By extending assistance to those residing in rented accommodations or unauthorized colonies, the government aims to bridge the gap and make homeownership a reality for a broader spectrum of society. This initiative aligns with the broader vision of inclusive development, where access to housing is viewed as a cornerstone in enhancing the overall well-being of citizens," said Adhil Shetty, CEO, Bankbazaar.com.
"The announcements in the Budget on the intention to launch a new scheme tailored for the deserving sections of the middle class is a step in the right direction towards ensuring universal homeownership. We are also happy to note the continued focus by the government on infrastructure development which will aid the real estate sector as well as the vision of extending PM Awas Yojana Grameen scheme to build another two crore homes over the next five years. These steps not only support the growth trajectory of the housing sector but it will also help in creating more employment opportunities across its ancillary industries," said Deepak Patkar, CEO SMFG Grihashakti.
Meanwhile, Indian equity benchmarks were trading higher today, led by gains gains across all sectors.
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