Deepak Parekh, Chairman, HDFC
The budget emphasizes the right sectors and gives something for every sector. It addresses the issue of need for more capital investment and more hard infrastructure., be it roads, railways, logistics among others. In the backdrop of remarkable performance of the housing sector last year despite Corona setbacks, the government has rightly allocated Rs 48000 crore for the PMAY for EWS, LIG and MIG housing which includes cash linked subsidy. The new set of rules for the SEZs are meant to promote the industry; it is to give a single window clearance if anyone wants to start manufacturing. I think that is the idea of the government in this budget and you will see that entrepreneurs are ready to invest. I think with all the infrastructure investments, the demand will increase.
Niranjan Hiranandani, MD, Hiranandani Group and Vice Chairman, NAREDCO
It is a budget for the economy, with sustainability and infrastructure investment as its underlying theme. It is clearly about complimenting macro growth with micro inclusive welfare, digital economy and fintech, tech-enabled development, energy transition, bolstering investment and climate action. Reforms like modernising building byelaws, transit-oriented multi modal corridors, Rs 48000 cr allocation for affordable housing, impetus to urban development policy and focus on new smart tier 2 and 3 cities will lead to holistic development of urban cities.
Single window portal and green clearances are a step to promote ease of doing business in augmenting sustained development along with special zones for electric vehicles. Grant of industry status to data centres and protecting data sovereignty will facilitate long term cheap credit to foster competitiveness and make India emerge as a global data centre hub.
Irfan Razack, CMD, Prestige Group
The budget has put a lot of focus on progressive reforms to boost the economy. Reforms like providing a big push to infrastructure development along with digitisation , unveiled in the budget, have put the focus back on growth, setting the tone for India’s future.
Ramesh Nair, CEO, India and Managing Director, Market Development, Asia, Colliers
“The Union Budget 2022-23 is forward looking, with digitization, urban development, and sustainability at its core. For the real estate sector, the outlay of Rs 48,000 crores under PMAY, yet again, showcases the government’s commitment on building affordable housing stock. However, it would have been better if there was more push on the demand side, such as the extension and expansion of the credit-linked subsidy scheme.
The budget made several announcements to spur growth of the logistics sector. As a follow up to repealing about 1,490 union laws in recent years, the government has also unveiled its plans to launch ‘Ease of Doing Business 2.0.’ This should include more dynamic aspects and make India a more investment friendly destination.
The budget announced a few laudable incentives for startups. The time extension provided to claim tax benefits will provide a breather for start-ups and encourage more start-ups in India. We look forward to the announcement on the replacement of the Special Economic Zone Act with new legislation. This has the potential to make export-led parks attractive for investments. The new benefits will also trickle down to technology companies who export services and have a positive bearing on commercial office real estate.
Radha Dhir , CEO & Country Head India, JLL
It is an investor-friendly budget with a booster dose for the infrastructure and focus on sustainability. The budget has made Gati Shakti Scheme as an umbrella for all infra-augmentation plans for multi modal connectivity and achieving logistics efficiency and cost reduction. The new expenditure announcement around the development of tier 2-3 cities with an overhaul of building laws, development of TOD corridors, supported by interest free loans to state governments, are the key to boost urbanization. Policy measures like earmarking Rs 48000 cr under PMAY, green bonds, replacement of SEZ laws, infra status to data centres, digital connectivity, land records digitization will boost real estate,
Anuj Puri, Chairman, Anarock
The budget provides a broad-spectrum booster shot to the economy for sustainable growth, inclusive development, productivity enhancement and financing of investments, over 35% hike in capex target, boost to cargo terminals, speedy project implementation through tech use, increased focus on tier 2 cities and infra status to data centres. The ECLGS scheme extension will provide impetus to industrial development with a rub off on real estate. The budget will facilitate digital inclusion and fund transfer by bringing 1.5 lakh post offices under the banking system, enabling smooth and transparent real estate transactions in the rurl areas and also encourage loan disbursals to semi-urban population.
Rajan Bandelkar, President NAREDCO
The establishment of a logistics network in the country will provide an impetus to the development of infrastructure, positively impacting the housing sector. Making the approval process speedier, promotion of affordable housing for the urban middle class and weaker sections, streamlining building laws and single window green approval are laudable initiatives. The enhancement of employers tax contribution to NPS account of state government employees will boost real estate and housing. However, the sector was expecting more incentives to boost real estate sales, including incentives under Section 24(b), 801A2(a) and (b) and bringing capital gains tax on par with equities.