PNB Housing Finance plans to raise $300 million (about ₹2,000 crore) through external commercial borrowing (ECB) to fund affordable housing segment. “We have got approval for National Housing Bank for ECB. We are awaiting clearance from the RBI for $300 million ECB,” said PNB Housing Finance Managing Director Sanjaya Gupta.
The fund raised would be utilised to finance the affordable housing segment, he said, adding that the ADB has already agreed to provide $150 million under the ECB route.
PNB Housing Finance is a subsidiary of Punjab National Bank (PNB), which holds 51 per cent stake while remaining is owned by Carlyle Group, a global investment firm.
In the last fiscal, the housing finance company had raised $100 million through ECB. Of this, $50 million came in from International Finance Corporation and remaining from ANZ Bank for affordable housing finance segments with additional focus on the low-income States, women borrowers and for green residential units.
That $100 million fund has been completely exhausted, he added.
As per the RBI norms, low-cost affordable housing units have been defined as those where the property cost is up to ₹30 lakh and loan amount is capped at ₹25 lakh.