Apart from its current efforts to bring transparency into the country’s domestic economy, the government has been working towards bringing transparency into the real estate sector as well. Several steps taken by the government in recent times —from the Real Estate Regulatory Act (RERA) and the Goods and Services Tax (GST), to Real Estate Investment Trusts (REITs) — have all been implemented for improving the ease of doing business in this sector, as well as for increasing investor confidence. After implementation, these policy changes are likely to attract more institutional investments into the Indian realty market — from domestic as well as foreign institutions.
Real Estate (Regulation and Development) Act or RERA: The much-awaited Act — covering both residential and commercial realty segments — was passed in March 2016. Although its actual implementation can only be effective once all the states create their respective state-level authorities, an effective implementation can be a game changer for the real estate and construction sector. It has been among the key measures which the government is trying to implement for the development and regulatory transparency of the real estate sector in India.