In a global economy today, FDI is becoming more important than trade as a mode of international economic transactions. In context to India FDI is very important. India is not a developed county. The Indian government is badly in debt. It owes billions of dollars to the World Bank. Poverty and corruption has badly stagnated the growth of the Indian economy. So FDI has been recognized as one of the important drivers of the economic growth of our country. It is now a competitive requirement that business invest all over the globe to access markets, technology, and talent. FDI data are a clear indicator of the trend toward globalization. As far as the real estate industry is concerned, India is the fourth largest economy in the world (according to the Asian Real Estate Society International Conference). In India real estate is expected to grow at 14% percent per annum. It is also expected to double its contribution to the country’s GDP. Currently, the real estate industry in India has a shortage of 20 million units. The demand for housing is expected to rise to 80 million units by 2015 and 90 million by 2020. The estimated investment is expected to be $ 670 billion by 2015 and $ 890 billion by 2020. This paper provides guidelines, objectives, advantages and constraints for entrance of FDI. We try to provide some recommendations for investors.
Loading....