The real estate sector is desperately looking to recover from its liquidity woes. The NBFC crisis has adversely impacted the sector. Liquidity stress is also debilitating the financial system. Housing Finance companies have shown slowdown in lending. Though the situation seems to be easing up to certain extent, more direct intervention by the govt is needed to remedy the situation. Vijay Iyer discusses liquidity crunch in NBFCs having an adverse impact on lending in real estate sector.