Realtors upbeat over easing of FDI norms

Real estate industry expects inflow of foreign capital in the sector to be more than 15 per cent after the government eased FDI norms, a survey by industry body FICCI said.

With the real estate industry facing a huge slowdown for the past 2-3 years, the government last month relaxed foreign direct investment (FDI) norms in construction sector by removing two major conditions related to minimum built up area as well as capital requirement.

“According to FICCI survey, industry is happy and satisfied with current FDI reforms in construction development sector and has shown high level of confidence and optimism towards future flow of foreign capital into realty sector,” the industry chamber said in a statement.

The survey amongst various stakeholders comprising developers, investors and consultants was conducted to assess the mood of real estate industry and their perception on relaxed FDI norms for the real estate sector.

“Respondents were optimistic and felt that FDI reform measures will certainly increase flow of FDI into realty sector in coming months.

According to DIPP, Indian real estate has attracted about $24.16 billion FDI in construction development sector during April 2000 to September 2015.

Read Full Story: Realtors upbeat over easing of FDI norms