National Housing Bank 2014

logo National Housing Bank 2014

 Company Profile

National Housing Bank (NHB) was established under the Act of Parliament viz, NHB Act in 1988 to operate as a principal agency to promote housing finance institutions both at local and regional ) operative Sector are the primary agencies for the development and expansion of the housing finance market in India. In future, NHB endeavours to continue to support a healthy housing finance sector in the country and realize their goal of affordable housing for all.Functions of NHB may be broadly classified as follows:

 –  Regulatory and Supervision :- NHB regulates and supervises the activities of HFCs in accordance with the provisions of the NHB Act.
–  Financing : NHB provides financial assistance to PLIs by way of refinance for development and expansion of housing finance market in India. NHB also provides direct finance to public agencies, private agencies in PPP mode for the provision of affordable and low cost housing in the country. NHB is a significant provider of developmental finance towards affordable housing in the country. NHB is focused on the holistic development of the housing finance market in the country.
Promotion and Development: NHB plays the role of a facilitator to promote and develop HFC’s to improve/ strengthen the credit delivery network for housing finance in the country. NHB have been promoting inclusive expansion and stability in the housing finance market.

NHB has played a central nodal role in implementing various schemes of the GoI under its initiative of “Affordable Housing for All”.

National Housing Bank TAX FREE BONDS Tranche I
Issue SizeRs. 1000 Cr (Base Issue Size) with option to retain oversubscription upto the shelf limit (being Rs. 2100 Cr)
Issue Opening Date30th December 2013
Issue Closing Date31st January 2014
Rating“CRISIL AAA/Stable” by CRISIL, “[ICRA] AAA” by ICRA & “CARE AAA" by CARE
Minimum ApplicationRs. 5000 in multiples of one bond
Face Value of BondRs.5000
ListingProposed to be listed in NSE
Interest on successful application Respective coupon rates
Interest on refund5% per annum
Registrar to the issueM/s Karvy Computershares Pvt. Ltd
Interest payment Payable Annually Only
IssuanceBoth in dematerialised form as well as in physical form


NHB Tax Free Bond Series Details Tranche – I

(For Category I, II & III)
Series 1A
Series 2A
Series 3A
Tenure (years)101520
Interest rate (%) p.a.8.26%8.63%8.63%
(For Category IV only)
Series 1BSeries 2BSeries 3B
Interest rate (%) p.a.8.51%8.88%9.01%

NHB Pre Tax Calculator Individual

10 Years
15 Years
Tax Free Rate
Income Tax Rate
Effective Yield
Effective Yield
Effective Yield
33.90% 12.87

Important Information (Instruction)

Please take print of the Application Form on A3 / A4 paper size.
Attach following document along with the application form : –

1] PAN Card Photo Copy attested by you,
2] Address Proof photocopy attested by you.
3] One cancelled cheque/copy of cheque (for ECS)
4] Cheque / DD should be drawn in favour ”

5] On First come First Serve Basis
6] Keep photocopy of application form foryour record.
7] Submit / deposit your IRFC Bond application form in Listed/ Design Bank Branches.
8] To record and track the status/allotment of your application form, send us the soft copy Application Form/ Acknowledgement Slip.
9] The actual bond certificate will be send by post within 8-12 weeks time form date of allotment.
10] Free Home Service is available in Pune Area.(Min Investment Rs. 50,000/-)

Who Can Apply/Invest?

Resident Indivdual /HUF/ Partnership Firm/ Companies/Trust & Foundations/NRI

Benefits to the Investor:

Ø In exercise of the powers conferred by item (h) of sub-clause (iv) of clause (15) of Section 10 of the Income Tax Act, 1961 (43 of 1961) the Central Government authorizes NHB to issue during the FY 2013-14, Tax Free, Secured, Redeemable, Non-convertible Bonds.

Ø The income by way of interest on these Bonds is fully exempt from Income Tax and shall not form part of Total Income as per provisions under section 10 (15) (iv) (h) of I.T. Act, 1961.

Ø There will be no deduction of tax at source from the interest, which accrues to the bondholders in these bonds irrespective of the amount of the interest or the status of the investors.

Ø Wealth Tax is not levied on investment in Bond under section 2(ea) of the Wealth-tax Act, 1957

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