Industry status sought for realty
RATTLED by the prolonged spell of Covid-19, burgeoning cost of land prices and difficulty in accessing institutional finance, the real estate sector has upped the ante for grant of industry status in the Union Budget for 2022-23.
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Visakhapatnam: RATTLED by the prolonged spell of Covid-19, burgeoning cost of land prices and difficulty in accessing institutional finance, the real estate sector has upped the ante for grant of industry status in the Union Budget for 2022-23.
The sector, which is set to contribute significantly to making India a $5 trillion economy by 2004-25, is the second largest employment generator after agriculture. It is also expected to become a $1 trillion market by 2030.
For revival of the demand and market penetration, the realty developers seek increase in the rental income limit for TDS, extension of NBFC credit liquidity and single window clearances for project approvals.
B Srinivasa Rao, Visakhapatnam chapter chairman of Confederation of Real Estate Developers of India (Credai) told Bizz Buzz that the slew of incentives to ensure market sentiments and more investments in housing will help trigger a cascading effect in the form of revenue contribution and generation of more employment opportunities in the field of construction.
He said Credai-the apex body for real estate developers in India, is trying to impress upon the government on the need to extend certain incentives to the realty sector to carry on their activities.
In fact, the ruling BJP had already sought inputs from realty bodies for consideration as part of budget preparation exercise. "Accordingly, we have given inputs, mentioning the issues to be considered for incorporation in the Union Budget," he stated.
Credai also wants reduction in housing loan interest to bring more people to investments in housing on the lines of interest charged overseas.
