Finance Minister Nirmala Sitharaman said the next set of measures would be announced for the real estate sector and that the government was working with the Reserve Bank of India (RBI) to help people affected in the sector.
Speaking at a function commemorating the silver jubilee of the National Stock Exchange in Mumbai on Tuesday, the finance minister said, “One particular sector which I have not touched and has an impact on the stock market is real estate, which requires a lot more attention,” she said.
In the past few months, the government has taken several steps to boost the economy and the minister indicated that more were on the anvil. “The real estate sector requires a lot more attention because the sluggishness which prevails there is got to be addressed. And I am glad to say there are alternative funds which are now approaching us saying we would like to do something with you. So long as there is some support mechanism available for reviving the real estate sector,” the FM said, addressing the audience.
In September, the FM had announced a cut in corporate tax which boosted the sentiment of equity markets in India. “As you know since August, we have been announcing various interventions in such a way that the market is revived. So, even as we are doing it, there is a lot of work to be done yet,” Sitharaman added.
The revival in the real estate sector will not only benefit the core industries that supply materials to the sector but also to the homebuyers. “Why is so much importance given to real estate? Because it has a spillover effect on very many sectors not just the middle-class home buyer,” the FM explained.
“When the funds approach us and you, the keenness with which India’s core sectors are revived and the passage to approach them are through these various sectors like the real estate. The government of India is very keen and is working very clearly together with the RBI to see how best we can – where necessary – tweak the existing norms to help people who are affected in this one sector, which I have not really completely addressed till now,” she said.