India’s real estate sector that has been facing some trouble in past few years is expected to get back to the track in 2020. As per the latest report by reputed global real estate consultation firm, Colliers International, investment in the Indian real estate sphere is likely to get a 5% boost this year.
The report says, real estate investment in India could touch to USD 6.5 billion, which was USD 6.2 billion in 2019. The last year investment was also significant in a sense that it was 8.7 per cent more than 2018 total real estate investment. Talking about foreign funding in 2019, it was almost four-fifth of the total investment.
The Toronto-headquartered real estate corporation also revealed that almost USD 57 billion has been spent in the Indian market over the course of the last 11 years. During the period, the country has seen tremendous increase in the demand of IT firms’ commercial office assets which accounted for 46% of total inflows in the year 2019.
“During 2019, investments into the real estate sector touched USD 6.2 billion (Rs 43,780 crore). During 2020, Colliers projects investments inflows of USD 6.5 billion in the real estate sector,” said the Colliers’ report while adding that it projects that the commercial office sector will account for almost 40% of the inflows in 2020.
Government’s numerous reforms and actions towards bettering Indian economy are also responsible for investors putting their money in the country’s real estate. Over the last few years, the government has introduced Goods and Services Tax (GST), Insolvency and Bankruptcy Code roll out, and relaxation in FDI laws.
It is expected that 2020 will be a year of tremendous growth in India’s businesses, especially in the realty world. A number of market pundits have also indicated the coming of a positive year after a prolonged slowdown.