Affordable housing to push cement demand
On the other side, allocations to urban housing have been increased to merely Rs 1,000 crore, significantly disappointing expectations of a big push to urban affordable housing. The limitation of tax deductible loss from let-out housing property to Rs 2,00,000 could negatively impact real estate demand, and thus cement demand, especially in large cities.
Experts noted that infrastructure status for affordable housing projects would give the companies higher access to capital markets, since housing limits won't be applicable. This could boost housing projects and cement demand.