FDI may increase in the Next 10 Years in India

Published: December 21, 2007 at 5:39 PM | Author: Administrator
News Source: Hindustan Times

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Foreign Direct Investment in the Indian real estate sector may increase to $30 billion over the next 10 years, with the sector expected to grow at more than 30 percent in the next few years, said Industry body Assocham. At present, FDI inflows to the sector are estimated to be between 5 to 5.50 billion dollars. The chamber said in a statement that the domestic real estate market, which is currently $14 billion, is estimated to be $102 billion in the next 10 years, when the FDI inflows to the sector would be about 30 billion dollars. Assocham President, Mr. Venugopal Dhoot said, "Given the rapid growth of the country's IT sector, which would require space of 200 million sq ft and around 20 million dwelling units, the real estate sector is set to grow exponentially. Also, increase in purchasing power and exposure to organised retail formats have redefined the consumption patterns for dwelling units due to which retail projects have mushroomed in smaller cities."