Record-low fdi in indian property set for further decline

Foreign investment in India’s residential property sector is set to decline further after a new report revealed it was at its lowest level for four years, according to industry experts.

FICCI and Ernst & Young’s recent industry report showed that foreign direct investment in India’s real estate sector was at $1.6 billion in 2010-11, compared to $4.1 billion in 2009-10, $3.8 billion in 2008-09 and $3.1 billion in 2007-08.

And industry professionals say that the global financial uncertainty will mean no improvement is on the horizon.

R R Singh, director general of the National Real Estate Development Council (Nardeco), said: “Foreign investment inflow in the Indian real estate sector will only deteriorate if the economic problems in Europe and the US persist longer.”

Source: OPP.org.uk