GCC nations may invest $102 bn in Indian realty sector

Cash-rich Gulf countries are expected to pump US$ 102 billion investments into the Indian real estate sector in the next ten years, a growth of about 630 per cent from the present US$ 14 billion, a report by Kuwait Investment Company (KIC) said.

The report said several large institutional investors have been making high-value investments in India during the last couple of years and a steady rise is expected in such investments.

"Transactions in the Indian real estate market are expected to grow from the current US$ 14 billion to US$ 102 billion in the next 10 years," KIC assistant general manager (Asset Management Division) Raed Al-Saleh said.

This growth is being driven by growing purchasing power of the over 200 million strong Indian middle-class, increased levels of professionalism in the sector, and favourable foreign direct investment reforms initiated by the government to attract global investors, he said.

The report said the Indian realty sector is poised to grow by over 700 per cent in the next 10 years.