Housing Development Finance Corporation is planning to list its business process outsourcing arm, Intelenet, by 2007-08, managing director Keki Mistry said on Thursday.
The company will also list HDFC Standard Life, its insurance subsidiary, by 2010, as directed by the Insurance Regulatory Development Authority.
The BPO arm is a 50:50 joint venture between HDFC and Barclays Bank. It mopped up a revenue of Rs 250 crore (Rs 2.5 billion) in March this year and has 5,000 employees on its roll. The paid-up capital of the unit is Rs 65 crore (Rs 650 million).
On the impact of the rise in risk weightage on home loans by National Housing Bank to 75 per cent from 50 per cent, he said, "There will be no impact on growth, profit, and capital adequacy."
"The leading home loan lending institution will be able to maintain a 16 per cent capital adequacy ratio," Mistry said.
Mistry also said there was no bubble in the home loan sector on an individual level, but there may be a bubble in some specific sectors like the commercial sector. He also added that there was no pressure on short-term interest rate, as liquidity was sufficient.
Mistry was speaking at a seminar on 'Global Banking: Paradigm Shift' here. Also present at the seminar was P K Gupta, chairman and managing director of NHB.
According to Gupta, there was no pressure on loan rate and the monetary policy will be an indicator for the rates in the medium and long term.
On the reason for raising the risk weight on home loans to 75 per cent from 50 per cent, he said that it was due to a concern on the quality of loan portfolio.
HDFC shares were traded at 1,001.70 rupees on the National Stock Exchange Thursday, down 2.8 per cent from Wednesday.