New Delhi, February 02, 2023: Overall it is a smart budget though there were no significant policy changes for the real estate sector that were proposed.
It is interesting to note that the Government in this current budget has proposed an enhancement of disbursement for Pradhan Mantri Awas Yojana( PMAY) by 66 percent to over Rs 79,000 crore. This will surely give impetus to the real estate industry which is recovering post-pandemic now. It will also help in making more homes available for the common man across the country.
Encouraging several green initiatives like green energy, green structures, green outfits, and programs for the effective use of energy across sectors will also create more opportunities for the infrastructure players in India. Moreover, this will also add up significant numbers to the job opportunities available in India.
The proposal to change the rules for calculating capital gains, wherein there is a joint property development to include the money paid by cheque or another form of payment as consideration will bring in more transparency and help enhance development in the real estate sector.
Making available over INR 10,000 Crores through an Urban Infrastructure Development Fund (UIDF), which is being established to enhance the creation of infrastructure in tier-2 and tier-3 cities via public agencies is a welcome move.
A focus on creating sustainable cities will also bring in more and more opportunities for the players in the real estate sector. This will restore the sentiments of real estate industry players, investors, and consumers as well in smaller cities and municipalities.
In this budget, the overall proposed Capex INR 10 lakh Crores in the infrastructure sector is three times than what it was in 2019, which is something truly valuable. It will uplift the sentiments of the real estate players, and they will be able to align their developments on these lines.
Also, new income tax slabs will create additional disposable income leading to the consumer being able to spend more, which should enhance the demand for new homes.
Corporate Comm India (CCI Newswire)