The Assam Real Estate & Infrastructure Developers’ Association (Areida) has expressed strong approval of the Union Budget 2024, particularly commending its comprehensive measures aimed at invigorating the housing and urban development sectors. P K Sharma, President of Areida, highlighted the budget’s commitment to bolstering housing initiatives, especially for urban poor and the rapidly expanding middle-class population.
A standout feature for Areida was the significant allocation towards the PM Awas Yojana Urban 2.0, designed to provide affordable housing solutions throughout urban India. Sharma emphasised the initiative’s critical role in tackling housing shortages and fostering inclusive urban growth. He remarked that this budget aligns with the urgent need to improve living conditions for millions while promoting sustainable development practices. Moreover, Sharma noted the budget’s robust support for Micro, Small, and Medium Enterprises (MSMEs), which are vital to India’s economic framework. These enterprises contribute significantly to GDP, exports, and job creation. The budget’s focus on orderly development in peri-urban areas through strategic economic and transit planning, alongside the revitalisation of existing cities through brownfield redevelopment, received particular praise.
In addition to these key initiatives, Sharma highlighted allocations for essential urban infrastructure, including water supply systems, sewage treatment facilities, and solid waste management across 100 cities. These investments are expected to enhance the quality of urban life and improve overall health standards for residents. The government’s initiatives to foster transparent rental housing markets were also applauded, with plans for public-private partnerships (PPP) aimed at providing housing for industrial workers. Furthermore, the proposed reduction in stamp duty rates is anticipated to stimulate real estate activity by making property transactions more affordable. Sharma pointed to the reduction of long-term capital gains tax from 20% to 12.5%, which, coupled with an increase in short-term capital gains tax on shares, may encourage high-net-worth individuals to redirect investments towards real estate. This shift could invigorate the sector and foster further development.
Echoing these sentiments, a spokesperson from the ICC Assam and Meghalaya Committee praised the introduction of Credit Guarantee schemes for MSMEs, recognising it as a vital step in alleviating financial stress within the sector. This initiative underscores the government’s commitment to bolstering MSMEs, which are crucial for sustaining India’s economic growth and creating employment opportunities. As the budget initiatives unfold, Areida remains optimistic about their potential to foster inclusive growth, enhance infrastructure development, and support key economic sectors essential for India’s future prosperity.
