LIC Housing Finance Limited CC-Sep24.pdf · 2024-10-29
First of all, congrats on the quarter. I think disbursement growth has picked up in this quarter, and we hope this trend sort of continues. Just two questions from my side. Firstly, I think an extension of what Abhijit already asked regarding the book that is the back book that repricing will happen every quarter. So is the understanding correct that even if, let's say, the repo rate cut happens, 25 bps, maybe in the fourth quarter of this year, not necessary that on 1st of April, which is the beginning of the quarter, you will have a similar sort of RPLR cut? And t hat RPLR cut would be largely linked to your cost of funds sort of movement? And if your cost of fund repricing is only by a few basis points, then that would be largely the reduction in PLR. Is that understanding correct?
Got it, sure. Maybe over a period of time, that entire 25 bps pass on as you get the benefit on cost, so that lead-lag impact would not be very material?