I am glad that home buyers have been classified as financial creditors by the government, said Hardeep Singh Puri, Union Minister of State with Independent Charge in the Ministry of Housing and Urban Affairs.

The Cabinet yesterday cleared amendments to the Insolvency and Bankruptcy Code (IBC), incorporating changes suggested by a government appointed panel.

The panel had suggested that home buyers should be treated as financial creditors, which will allow them to equitably participate in an insolvency resolution process.

The minister said that home buyers were in a vulnerable position as losing home for a first time buyer is tragic.

Speaking to CNBC-TV18's Manisha Natarajan, he said government has taken corrective steps and resolution won't happen in a day but situation is improving on the ground.

First Published:May 24, 2018 7:23 PM IST