According to a report by the Associated Chambers of Commerce and Industry of India (ASSOCHAM), Gujarat received the largest realty investment in the last fiscal year.
AHMADABAD: Gujarat is one of the most sought after locations for realty investment. The report of the Associated Chambers of Commerce and Industry of India proves this.
According to the report of ASSOCHAM, Gujarat received the maximum amount of realty investment in the last fiscal year. Nearly 41 per cent of the total realty investment is done in this state.
In the last fiscal Rs.42, 000 Cr was totally invested in India. Out of this Rs.17, 000 Cr was invested in Gujarat.
However the apex body of industry said that the investment in the last year is far lower. Realty investment fell sharply in the last year. A year before, nearly Rs.92, 600 Cr was invested in realty.
On the other end, Gujarat saw a huge rise in the investment. The state witnessed a growth by 700 per cent; from Rs.2000 Cr to Rs.17, 000 Cr.
When investment in most of the states declined, Gujarat saw a rise in the investments, said ASSOCHAM’s national Secretary-General D.S. Rawat. He stated while he was releasing their study-report.
Kerala too received more investments. The investments in the state rose by 550 per cent. While it stood second, with 400 per cent growth rate, Uttarakhand stood third. The list was followed by Rajasthan which saw a rise by 175 per cent.
Most of the other states, saw declining investments. Some of them saw decline by over 50 per cent.
Realty investment forms over 11 per cent of the total investments in India, says Rawat. In the last fiscal the total investments including all the sectors were Rs.122,00,000 crore. This is inclusive of investments in the public and private sectors.
Realty investment fell mainly because of the lower home sales and sluggish market. High interest rates, rising cost of construction, etc. are other reasons which destroyed or hurt the investors’ sentiments.