By 2047, India's real estate market will double to 15.5% of GDP from 7.3% now
New Delhi: India's real estate sector is poised for massive expansion, projected to grow to USD 5.8 trillion by 2047, contributing 15.5 per cent to the country's GDP, up from the current 7.3 per cent, according to CIRIL report.
By 2030, the market size is expected to reach USD 1 trillion, a sharp rise from USD 200 billion in 2021. The retail, hospitality, and commercial real estate segments are also witnessing significant growth, providing crucial infrastructure for India's expanding economy.
The real estate market is set to maintain strong investment momentum in 2025, backed by robust domestic economic fundamentals and a strategic focus on technology and ESG (Environmental, Social, and Governance) integration in investment decisions. The government is expected to extend infrastructure development beyond metro cities to achieve its Vision 2047.
The sector has shown remarkable performance in 2024, with residential, office, logistics, hospitality, and retail segments expected to grow at a CAGR of 9.2 per cent between 2024-2028. Urbanization, rental market growth, and steady price appreciation are key factors driving this upward trajectory.
Vijay Sarathi, Chairman of CIRIL, said, "We expect 2025 to continue its strong growth momentum with new investment avenues emerging in tourism and hospitality, retail, warehousing, co-working, and co-living projects."
India's economic growth is projected at 6.6 per cent in 2025, driven by private consumption and investment, according to a United Nations report. Increased capital expenditure on infrastructure is expected to have strong multiplier effects on economic expansion.
Investment in real estate remains strong, with Domestic Institutional Investors (DIIs) reaching a record-high 16.46 per cent market share in September 2024, up from 16.25 per cent, with net inflows of Rs1.03 lakh crore.
Despite foreign institutional investor (FII) outflows in October 2024, DII investment remained at record levels, a trend expected to continue in 2025.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Observer
3 days ago
- Observer
Syria completes first global SWIFT transfer since war, governor says
Syria has carried out its first international bank transaction via the SWIFT system since the outbreak of its 14-year civil war, its central bank governor said on Thursday, a milestone in Syria's push to reintegrate into the global financial system. Central bank governor Abdelkader Husriyeh told Reuters in Damascus that a direct commercial transaction had been carried out from a Syrian to an Italian bank on Sunday, and that transactions with U.S. banks could begin within weeks. "The door is now open to more such transactions," he said. Syrian banks were largely cut off from the world during the civil war after a crackdown by Bashar al-Assad on anti-government protests in 2011 led Western states to impose sanctions, including on Syria's central bank. Syria needs to make transfers with Western financial institutions in order to bring in huge sums for reconstruction and to kickstart a war-ravaged economy that has left nine out of 10 people poor, according to the United Nations. Husriyeh chaired a high-level virtual meeting on Wednesday bringing together Syrian banks, several U.S. banks and U.S. officials, including Washington's Syria envoy Thomas Barrack. The aim of the meeting was to accelerate the reconnection of Syria's banking system to the global financial system and Husriyeh extended a formal invitation to U.S. banks to re-establish correspondent banking ties. "We have two clear targets: have U.S. banks set up representative offices in Syria and have transactions resume between Syrian and American banks. I think the latter can happen in a matter of weeks," Husriyeh told Reuters.
Observer
4 days ago
- Observer
How Paris's Seine River keeps the Louvre cool in summer
As Paris braces for a heatwave this weekend, a little-known network of underground pipes will be cooling the Louvre museum and other storied landmarks using water from the Seine river. Since 1991, the river water has been cooling more than 800 buildings via a humble but hard-working system that is still relatively under-utilised worldwide. Paris boasts the largest such urban cooling network in Europe: 110 kilometres (68 miles) of subterranean pipes criss-crossing the City of Light, reducing its need for energy-guzzling air conditioning. "It's like 'Batman'!" exclaimed a passer-by in the chic and touristy eighth arrondissement or district of Paris, as a manhole cover was removed to reveal a spiral staircase to the cooling network below. The technology is not new: the headquarters of the United Nations in New York has been using water from the East River for cooling since the 1950s. But much planning and construction is necessary and as such, these efficient and sustainable cooling systems remain relatively rare. But in Paris, the network has grown considerably in recent years to confront more intense and frequent heatwaves, with the first of the summer forecast this coming weekend. The process works much the same as a district heating network, but in reverse: heat is transferred from the air to chilled water pumped via pipes to buildings around the city. But unlike conventional air conditioning, it does not blast hot air into the streets, according to Fraicheur de Paris, which manages the Seine cooling network and others in Barcelona, Singapore and Dubai. The company, co-owned by the French energy utility Engie, says it also offers significant savings in electricity consumption, chemical use and emissions of planet-warming carbon dioxide. - Beat the heat - Heatwaves could push summer temperatures to 50 degrees Celsius (122 Fahrenheit) by 2050 in Paris, said Raphaelle Nayral, secretary general of Fraicheur de Paris. The city needs a more sustainable solution than air conditioning units with their associated heat and energy burden, she added. "Otherwise we will make this city completely uninhabitable," Nayral said. Studies have shown that air conditioners can increase the heat in urban centres by around 0.5C when used in large numbers, a figure that rises as more units are installed. Air conditioning also accounts for seven percent of global greenhouse gas emissions, the UN estimates. This is in part due to energy use but also leaking refrigerant gases, which are potent warming agents. For the Paris network, 12 cooling power stations pump chilled water from the Seine to 867 sites across the city, including the national parliament building. Even in winter, the river can prove useful for cooling server rooms and other technology and heat-intensive operations across the city. - 'Song of the Seine' - In the eighth district, 30 metres underground and spread over four floors, the river's water is pumped through a series of black tanks and large green pipes with a shrill din. "It's a bit like the song of the Seine," Raynal said with a smile over the whirring of compressors. The process is subject to numerous environmental standards. To prevent damage to the Seine ecosystem, water drawn for cooling cannot be discharged back into the river if there is a difference of more than 5C (9F) between the two. Other sites served by the Paris network include department stores and offices, the train network, concert halls, and arguably the world's most famous museum, the Louvre. One hospital has been also connected, and there are hopes of extending the cooling benefit to retirement homes, schools and daycare centres across the city. "By 2042, the network should more than double, with 245 kilometres of distribution... to provide new cooling when the city is overheating," Nayral said. For individual homes, it could be a longer wait, with extensive renovations required to connect residential buildings to the network. —AFP Engie By Delphine PAYSANT
Times of Oman
4 days ago
- Times of Oman
Indian Rupee likely to trade between 85.25-86.25/USD in near term: Bank of Baroda Report
New Delhi: The Indian rupee is expected to trade in the range of 85.25 to 86.25 against the US dollar in the near term, according to a report by Bank of Baroda. The report also warned that there are risks to the rupee's stability due to rising geopolitical tensions and possible changes in US tariffs. It stated, "We expect INR to trade in the range of 85.25-86.25/USD in the near-term. Risks remain from a significant escalation in geo-political tensions". The report highlighted that the rupee has depreciated by 0.6 per cent in June 2025 so far, adding to a 1.3 per cent decline in May 2025. Much of the pressure on the rupee came in the second week of June, especially after reports of a conflict between Israel and Iran. Before this, the rupee was trading in a narrow range between 85.39 and 85.63 from June 2 to June 12. However, after news of Israel's attack on Iran came out, the rupee fell sharply by 0.6 per cent on June 13. This was the biggest one-day fall for the rupee in a month. Since then, the rupee has stabilised but is still trading above the 86 per dollar mark. The report also noted that global currencies gained in June 2025, mainly because the US dollar weakened. The dollar index (DXY) dropped by 1.3 per cent. This happened as US economic data, such as inflation and labour market reports, showed that price pressures in the economy remain under control. The labour market data, however, showed mixed trends. Due to these factors, investors are expecting the US Federal Reserve to cut interest rates later this year. The chances of a rate cut in September 2025 have increased to around 60 per cent, up from about 50 per cent a month ago. Despite the global uncertainty, the Indian rupee has remained mostly stable. This is in line with the trend seen in other global currencies, which also saw a brief fall but later recovered. Going forward, the rupee may face some volatility due to global headwinds and the approaching end of the US tariff pause.
