Mumbai In a move that could give a further fillip to the economic reforms kickstarted by the Centre last week, the government has now told commercial banks to fund partially completed residential projects, as well as projects in small towns on a priority basis.

At a meeting between the secretary for financial services, DK Mittal, Indian Bankers Association (IBA) and developers’ apex body Confederation of Real Estate Developers’ Associations of India (Credai) in Mumbai, Mittal asked commercial banks to focus on funding under construction projects that are delayed due to want of funds, said Credai president Lalit Kumar Jain.