Relaxed FDI rules will boost realty sector: Fitch Ratings

Views: 617


Relaxation in rules on foreign direct investments (FDI) into India’s property development sector will not only improve developers’ liquidity and speed-up project-turnaround times, but may also increase competition in the market, Fitch Ratings has said.

The Government on 29 October amended FDI norms for construction sector by allowing inflows into projects spread over a smaller area with a minimum floor area of 20,000 square meters (sqm).The minimum foreign-investment threshold was also lowered to USD5m per project, from USD10m.

These moves may give impetus to FDI with more foreign developers joining hands with their domestic counterparts.

On the other hand, the relaxed rules will also encourage a higher supply of property projects and more price-competition among domestic developers, which will affect profit margins. Al Davis Womens Jersey

Click to comment

Leave a Reply

Your email address will not be published.

Most Popular


About Us

Smart city portal was started with an aim to provide latest news information about the smart city mission of the Government of India. Founded in 2015, the portal enjoys the distinction of being India's first integrated website on smart cities of India. The website features stories on the economic growth of Indian cities where the government is trying to improve the quality of life of people by enabling local development and harnessing technology as a means to create smart outcomes for citizens.

Contact Us

Elets Technomedia Pvt. Ltd. Stellar IT Park, 7A/7B, 5th floor, Annexe Building, C-25, Sector 62 Noida – 201309, Uttar Pradesh, India

To Top