Indian Hotels checks-in as gainer

Indian Hotels is currently the top gainer on the BSE, up 7.3% at Rs.50.70, with an intra day high at Rs.51.65. Volumes are up almost 8 times.

This hotel stock leads the pack, with others in the sector – Hotel Leela, Taj GVK, EIH, Kamat Hotels, all surging into the green. This new found love for the hospitality sector today is thanks to RBI.

RBI yesterday announced widening the definition of infrastructure sector lending to include hotels with project costing more than Rs 200 crore in any place in India and of any star rating as well as convention centres with project worth Rs 300 crore. The Finance Ministry has also given his approval for the same. In fact the Finance Ministry has gone ahead also suggested to the RBI that it needs to look at changing rules for infra financing, especially to do with treatment of NPAs