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RBI Broadens Scope of Loans Under Priority Sector Norms
Business Standard
|March 25, 2025
Enhances Limits for Housing Loans
The Reserve Bank of India (RBI) has revised norms for loans under the priority sector, enhancing limits for housing loans and broadening the purposes based on which loans are classified under renewable energy (RE). The new norms will come into effect from April 1, 2025.
For housing, loans up to ₹50 lakh for centers with a population of over 5 million and above can be classified as priority sector, with the maximum cost of the dwelling unit at ₹63 lakh. For centers with a population of more than one million and up to 5 million, loans up to ₹45 lakh with a cost of dwelling unit at ₹57 lakh would be classified as priority sector. Centers with a population of less than 10 lakh, loans up to ₹35 lakh with a dwelling unit cost at ₹44 lakh are also classified as priority sector.
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