The Positive Impact of Union Budget on Indian Real Estate
The Union Budget 2023 has set an optimistic roadmap for the real estate industry. The favorable measures announced will boost the industry and promote sustainable real estate growth in India. Let us have a look at some of the key takeaways:
- The Budget 2023 has focused on economic boosters to revive the growth of the Indian real estate sector. The government has announced tax relief measures and additional funding for infrastructure development. The budget has announced a 5.54 lakh crore allocation for the infrastructure sector. These measures are expected to witness real estate growth in India, as it relies heavily on economic growth.
- The budget has emphasized urban planning in Tier 2 and Tier 3 cities, boosting real estate development in these areas. The government has allocated funds for the development of smart cities, affordable housing schemes, and infrastructural development in these regions. The allocation for the PMAY-U scheme has increased by almost 66% to Rs 79,000 crores in the Union Budget 2023. This is expected to boost the overall Indian real estate sector and attract more investment.
- The budget has announced several measures to promote the implementation of affordable housing schemes in India. The budget has announced that the government will assist cities in issuing municipal bonds to raise funds for infrastructure development in India. This measure will attract more investment in the Indian real estate sector, as better infrastructure will lead to higher property prices.
- The Budget 2023 has allocated additional funds for infrastructure development in India, which is expected to boost the real estate industry. Better roads, airports, and railways will improve connectivity and attract investment in the Indian real estate sector. The government has allocated Rs 5.54 lakh crore for infrastructure development. Simplifying the GST process and other tax reliefs will also encourage investment in the Indian real estate sector.
The government has also proposed reducing the time for obtaining construction permits to fewer days, which will help reduce the time taken for project approvals, which is a huge relief to all the leading real estate companies like SMR Holdings.