Union Budget aims to revive economy, says Real Estate developers

GUWAHATI: The Assam Real Estate and Infrastructure Developers' Association (AREIDA) has welcomed the Union Budget. AREIDA president PK Sharma said that the Budget is clearly aimed at post pandemic economic revival.

"For the Real Estate sector, the Budget aims to boost housing demand thereby creating economic activity and job creation. Extension of tax holiday for affordable housing projects for one more year is most welcome and the industry acknowledges with gratitude this core demand of the real estate industry," Sharma opined.

The AREIDA underlined that the deduction of interest on home loans has also been extended which will boost the housing sector.

"Setting up of developmental financial institution with 20,000 crore will increase liquidity and access to required funding for the Real Estate sector. Announcement of Asset Reconstruction Company to help banks tackle bad loans will reduce the pressure on banking sector as NPA's will now be handled by these entities," said Sharma. Further, he highlighted that the proposed amendments to allow debt funding through REIT, InvITs shall help in attracting more investment in the Real Estate sector.

"The proposal to make dividend payment from REIT, and InvITs exempt from TDS shall attract retail investors to RIET. The Union Government has clearly acknowledged the importance of the Real Estate sector in the economy of the country," Sharma added.