Panel calls for survey on FDI in housing

Panel calls for survey on FDI in housing

The Standing Committee on Urban Development has directed the Ministry of Housing and Urban Poverty Alleviation (HUPA) to undertake a survey to assess the impact of foreign direct investment (FDI) inflows into the housing sector.

Since 96 per cent of the housing shortage in India is in economically weaker section and low income group segment, there is an urgent need to conduct study so that the real impact of FDI can be assessed, the committee said.

FDI is permitted through the automation route in construction and development sector. It covers development of townships, housing, built-up infrastructure and construction-development related projects.

The Department of Industrial Policy and Promotion (DIPP), on a regular basis, publishes data on sector-wise FDI inflows in their factsheets.

Statement on sector-wise FDI equity inflows from April 2000 to December 2014 shows that inflows in construction development are Rs. 1,12,821.03 crore (10.06 per cent of total inflow).