The Confederation of Real Estate Developers' Associations of India (CREDAI) wants the Union Government to rationalise and reduce GST to achieve its twin objectives of housing for all and affordable housing.

CREDAI president Jaxay Shah told the media here on Friday that, coming as it did close on the heels of demonetisation, GST was proving to be too disruptive for the sector. "Of course, we will pass it onto the customer. But we feel it should be rationalised and reduced. Demonetisation, GST and RERA - it's a triple whammy for the sector, which is passing through a critical phase," he said.

The executive committee and governing council meeting of the CREDAI was held here on Friday.

He thanked the Government for giving the sector infrastructure status and also providing subsidy of Rs 2.60 lakhs for affordable housing units. "However, there should be more financial support from banks to make the affordable housing scheme successful. We fully support Government's goal of providing quality housing for all by 2022," he said.

In response to a question on Real Estate Regulation Act (RERA), he said the CREDAI was in no way trying to dilute the provisions of the Act. "Regulation is needed, and we welcome RERA, though it may be disruptive initially. But there should be a last-mile approach to the problem," he said.

He said that CREDAI would build 14,500 affordable housing units across Andhra Pradesh in places like Vijayawada, Visakhapatnam and Kurnool to meet the Government objective of housing for all by 2022.

A. Siva Reddy, the president of CREDAI (AP), K. Subbaraju, the chairman of CREDAI (AP), and Satish Maggar, the president-elect (national) also spoke at the meeting.

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