RERA, GST, IBC reforms attracting investors
- Jul 13, 2020 | Divita S Gupta
A report by JLL and LaSalle's biennial Global Real Estate Transparency Index (GRETI) report has stated that policies like the Real Estate Regulation and Development Act 2016 (RERA), the Goods and Services Tax (GST), Benami Transaction Prohibition (Amendment) Act, 2016, Insolvency and Bankruptcy Code, digitisation of land records etc. have brought about greater transparency in an otherwise largely unregulated sector. The report has also stated that India is among the top 20 countries for sustainability transparency through the active role of organisations like the Indian Green Building Council and Green Rating for Integrated Habitat Assessment. Over the last few years, India has been steadily climbing the Global Transparency Index along with just a handful of other countries, mostly from South East Asia.
The report credits the work of the National Real Estate Investment Trust that has majorly contributed to transparency in India. This, along with ongoing progress and governance, is expected to continue to attract more interest from institutional investors. At a time when economies have been disrupted because of the worldwide outbreak of the Coronavirus, transparency within Asia Pacific region's real estate regulatory systems is all the more important to global investors as they are looking to deploy about $40 billion in dry powder capital in the region. India's phenomenal progress in real estate regulation could see a large chunk of future investments from global investors directed toward the country.