Union Budget 2022-23 | Know Major Announcement for Realty Industry
Union Budget 2022-23 – Many of the measures announced by our Finance Minister Smt. Nirmala Sitharaman during her speech in Parliament. Many people were shocked by the Union Budget 2022-23. Steps were taken regularly for digitization of rural areas with greater emphasis on healthcare and transportation. Despite expectations were high regarding income tax slab reform, no changes were implemented. The introduction of the digital rupee by the RBI in 2022-23 was a major highlight.
Key Focus of the Budget 2022-23
- India’s economic growth estimated at 9.2% to be the highest among all large economies.
- 60 lakh new jobs to be created under the productivity linked incentive scheme in 14 sectors.
- PLI Schemes have the potential to create an additional production of Rs 30 lakh crore.
- PM Gati Shakti (The seven engines that drive PM Gati Shakti are Roads, Railways, Airports, Ports, Mass Transport, Waterways and Logistics Infrastructure).
- Inclusive Development
- Productivity Enhancement & Investment, Sunrise opportunities, Energy Transition, and Climate Action.
- Financing of investments
What real estate industry experts say about Union Budget 2022-23?
The real estate industry is elated about the Budget 2022-23 recommendations. Here are some reactions from real estate industry veterans. In the backdrop of dropping Coronavirus pandemic, Ms Nirmala Sitharaman presented an enabling, positive and futuristic Union Budget 2022-23. The realty sector has faced severe challenges in the recent past but is hopeful of solid recovery with several key budget announcements. With a goal of constructing over 80 lakh affordable houses by 2023, a focus on urban development through the concept of megacities, and an increased emphasis on Tier 2 and Tier 3 cities, the real estate sector will receive a much-needed boost.
Home for All
The major news for Real Estate was the allocation of Rs 48,000 crores for completion of 80 lakh houses in 2022-23 under PM Awas Yojana. this will massively increase the affordability in the residential realty sector. In these allocations of funds, both rural and urban areas were covered. In 2022-23, 80 lakh households will be identified for the affordable housing scheme. Further, PSP Projects have earlier participated in the construction of these affordable housing projects can also benefit. Apart from that 60,000 crores is being allocated for providing access to tap water to 3.8 crore households
While presenting the Union Budget 2022-23, Finance Minister Nirmala Sitharaman announced the government’s decision to form a high-level committee of urban planners and institutes to develop policies for sustainable urban development. The Finance Minister also stated that tier 2 and tier 3 cities would need to step up their development efforts.
These measures will facilitate the government in resolving urbanisation issues such as wastage of productive land and environmental hazards by focusing on urban development through the establishment of an urban sector committee.
Focus on Urban Development in Union Budget 2022-23
The Union Budget 2022-23 emphasized the importance of developing Mega Cities as well as a greater emphasis on Tier 2 and Tier 3 cities. These cities are expected to become economic powerhouses in the near future.
The government intends to facilitate and collaborate with the states in the development of urban capacity. To bring about a paradigm shift in ‘Urban Planning,’ the Union Government has announced the formation of a high-powered committee to make policy recommendations and capacity building related to urban infrastructure development. The Finance Minister clarified that business as usual could not be continued in Urban Planning.
Focus on Infrastructure Development in Union Budget 2022-23
The Union Government has increased its focus on infrastructure development in the Union Budget 2022-23. The National Highways will be expanded by 25,000 km over the next one year under PM Gati Shakti. The government intends to implement the National Ropeway Programe in Public-Private Partnership (PPP) to improve connectivity.
Highlighted the seven engines under PM Gati Shakti like, Roads, Railways, Airport, Ports, Mass Transport, Waterways, and logistic Infrastructure. The construction of 100 new cargo terminals will also benefit the country’s infrastructure and construction industries.
Land Records Management
Unique Land Parcel Identification Number (ULPIN) for IT-based management of land records – In Union Budget 2022-23 has proposed a Unique Land Parcel Identification Number for the purpose of managing digital land and records. This will ensure higher transparency in real estate transactions. Land records are being translated from regional languages as soon as possible. The “anywhere registration” of deeds and documents under the “One Nation One-Registration Software” is being hailed as a good move for India’s real estate industry.
Overall, the Union Budget 2022-23 can be seen as as laying out a positive roadmap with elements of a promising growth outlook. In terms of the real estate sector, it has a lot in store. A lot of emphasis has been placed on urban planning and rural development, which has secured the real estate sector’s hopes on long-term growth.
FAQs of Union Budget
Q1. Who is the Finance Minister of India?
Ans. Nirmala Sitharaman is the Finance Minister of India
Q2. Who presents the Union Budget?
Ans. The Finance Minister presents the Union Budget every year.
Q3. When is the Union Budget presented?
Ans. The Union Budget is presented on February 1, every year.
Q4. When the Union Budget 2022-23 has been presented?
Ans. Union Budget 2022-23 has been presented on February 1, 2022
Q5. What is the total budget of India?
Ans. The government estimated total spend at Rs. 39.45 lakh crore in Union Budget 2022-23
Q6. What is the key focus of Budget 2022 – 23 for real estate industry?
Ans. The main goal of this budget is to increase the availability of affordable housing and to strengthen India’s multimodal infrastructure. This will benefit the real estate sector in a variety of ways.