Arvind Subramanian, MD & CEO, Mahindra Lifespace Developers Limited.
“With its focus on affordable housing, infrastructure projects, inclusive development and productivity enhancement, Union Budget 2022 is both balanced and growth-oriented. The allocation of Rs 48,000 crore under PMAY urban and rural schemes and of Rs 60,000 crore to cover 3.8 crore households for tap water will boost affordable housing in India.
However, an extension on tax exemptions to first-time buyers of affordable homes would have helped further incentivize purchase decisions and accelerate growth in the segment. Connectivity is a key growth driver of real estate, and the industry is expected to benefit from the renewed focus on road construction.
Commendable efforts have also been made to improve Ease of Doing Business, boost job creation and improve India’s supply chain ecosystem, all of which bodes well for the manufacturing ecosystem in the country. The extension on concessional tax rates for new manufacturing companies will help attract investment into strategically located industrial parks that are ideally positioned to enable speedier time-to-market.
The introduction of new legislation that will replace the Special Economic Zones (SEZ) Act, together with proposed reforms in customs administration of SEZs, will enhance export competitiveness, thereby supporting industrial activity. Additionally, Infrastructure status to Data Centers will enhance the fast-evolving digital ecosystem in India.
Most importantly, as a real estate developer with a 100% environment-friendly portfolio since 2014, we particularly welcome the Union Budget’s focus on mitigating climate risks through clean energy and solar capacity augmentation.”