ISAS Briefs

The real estate sector is the largest employer of labour in India and provides downstream support to industries such as steel, cement, iron, bricks, and wood. It also helps boost consumption around construction sites. As a consequence of a slowdown of construction activity in the housing and commercial sectors, there was financial stress among developers with a fairly large number of dwelling units lying unsold. The budget for 2019-20 has introduced much-needed relief for buyers and developers. In addition, the government has announced a very substantial reduction in the rates of the Goods and Services Tax that this sector will attract. These moves are bound to provide acceleration in the construction activity across the country.