The company had a healthy capital adequacy ratio of 38% which was sufficient for the next three years, says India Mortgage Guarantee Co. CEO Mahesh Misra.
| Photo Credit: Special Arrangement
India Mortgage Guarantee Corporation (IMGC) has created a credit score similar to CIBIL score for non-credit tested customers, a top official said.
“We have created a credit score, which will act as a substitute for bureau score and help those with a rating of 600 to 700 points,” IMGC chief executive officer Mahesh Misra said during an interaction.
“The new credit rating system is for about 30-35% of borrowers who are non-credit tested (salaried and non-salaried). The application is being piloted and will be rolled out in 12 months. We have started testing it with existing lending institutions,” he said.
Mr. Misra also announced a strategic development plan that included entering new markets and increasing its home-loan guarantee portfolio to ₹30,000 crore by FY24 against ₹20,000 crore done till date since its inception in 2012.
During FY23, IMGC processed more than 1,100 claims, provided guarantee to home loans worth ₹4,800 crore with plans to achieve ₹9,000 crore by March 2024.
Mr. Misra said that the company had a healthy capital adequacy ratio of 38% which was sufficient for the next three years.
The company was established with the objective of promoting early home ownership and making housing affordable. It provides guarantees to banks and financial institutions, reduces the risk of default and makes home loans more affordable.
“IMGC has a capital base of ₹400 crore. It might have achieved breakeven during FY23 the results for which are due. From here on, we will be on a growth trajectory, he said.
Asked about their plans to approach consumers directly, he said it was in a premature stage.
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