Hudco in talks with SHCIL

Mumbai: The Housing and Urban Development Corporation (Hudco) and the Stock Holding Corporation of India (SHCIL) are engaged in negotiations for retailing housing loans.

The two institutions are willing to work out a distribution model, and the details of the proposals under consideration will be available soon. The proposed tie-up will benefit both Hudco and SHCIL, which are seeking to enter into value-added areas.

The plan is based on the premise that housing loans are much in demand in the country.

According to SHCIL managing director B V Goud, while talks are yet to reach a conclusive stage, the two parties are keen on taking up the proposal. "We can utilise our existing network to reach out to prospective loan-seekers. The project will enable SHCIL to expand its reach."

SHCIL is currently retailing select savings instruments like RBI Relief Bonds. It also plans to distribute insurance schemes in a big way. In fact, it has already resolved to tie up with the postal department for catering to a wider audience. "We need to establish the right channels of communication and customer servicing. This is more important in a vast country like ours," says Goud.

Over the years, Hudco has slowly transformed itself from a mere housing company. Currently, its most important activity is to provide techno-financial assistance to individuals, organisations and even governments.