Budget 2022 failed to meet the government’s long-standing promise to allow “industry” status to the real estate sector. However, the government’s proposal to reduce the approval time related to land and increase allocation under PMAY is welcomed by the city-based developers.
In the recent budget, the finance minister, Mrs. Nirmala Sitharaman had proposed a great amount of allocation of Rs,48,000 crores for the construction of 80 lakh homes under PMAY. The government’s this move will boost the market for the affordable housing segment in Gurgaon and other cities of NCR.
Director of the GLS Group, Surinder Singh, also hailed this decision of hiking PMAY for urban and rural areas.
“This is good for developers and Homebuyers. The focus on improving the transport services will help the affordable housing market. The government’s plan to work with the financial sector to reduce the cost of intermediaries will further streamline the process”.
Pradeep Aggarwal, a proud chairman of the Assocham National Council on Real Estate Housing and Urban Development, also called it the “balanced budget” that catered to the overall economic growth.
He further added, “The government also talked about tier 2 and 3 cities and that it will work with the urban planners to ensure that these cities witness economic growth and employment. The government’s proposal to help reduce the cost of intermediaries will give realtors access to funds to finish projects in time. Through this, a common man can also fulfill the dream of owning a home”.
Chairman of Supertech, RK Arora said, the government has perfectly maintained a balance to lead the economy to a high GDP growth rate by investing in the infrastructure sector while keeping the fiscal deficit within limits. He stated,” For the housing for all initiative, PMAY has given due importance, however largely through the government flagship programs rather than the incentives realtors were hoping for”.
Nayan Raheja from the Raheja Developers said,” We’ve been demanding industry status for the entire sector as well as single-window clearance to ensure smooth operations, but the government has yet to respond overall the budget appears to be a mixed bag from a real estate standpoint. The anticipated expansion of smaller cities and infrastructural push can be considered favorable.”