Real estate bill would boost foreign direct investment
Both houses of the parliament- Rajya Sabha and Lok Sabha have cleared the Real estate FDI bill. The bill will help gain extra FDI in the real estate sector and also provide consumer protection, which wasn’t the case earlier. The real estate bill will increase foreign direct investment as it works towards strengthening transparency, information in the public domain, accountability and responsibility for developers and also provide consumer protection. During the first nine months of the present year, the foreign direct investment equity inflow in construction development dipped by 84% as against the same period of last FY. Both houses of parliament- Rajya Sabha and Lok Sabha have cleared the real estate bill last week. Minister of Housing & Urban Poverty Alleviation Venkaiah Naidu explained how the bill would be applicable to current projects - the rules on setting aside 70% of customer advances in an escrow account; compulsory approvals prior to project launches and so on. The real estate bill is looking to generate rights and responsibilities for both the consumers and developers and will also boost both of them to live up to the expectations of each other as per the contract. The bill permits people to reach their ambitions of owning a house. “The Bill requires project promoters to register their projects with the Regulatory Authorities disclosing project information including details of the promoter, project including schedule of implementation, lay out plan, land status, status of approvals, agreements along with details of real estate agents, contractors, architects, structural engineers etc,” the Ministry of Housing and Urban Poverty Alleviation revealed in a statement. “The Real Estate Bill is a gift to the nation by the Prime Minister. The passage of the bill is an example of the Prime Minister’s commitment to total transformation,” the Ministry said.
March 21, 2016 | 04:00pm IST
to success.