MUMBAI // India’s property sector is set to be one of the key beneficiaries of the federal budget, according to analysts.
“This has been one of the path-breaking budgets with far-reaching changes especially for the real estate sector,” said Shishir Baijal, the chairman and managing director of Knight Frank India.
“This has come at a time when the beleaguered sector has been looking at measures to boost the sentiments.”
As well as steps to boost the affordable housing segment, including granting it infrastructure status to improve access to cheaper financing, there were a number of other announcements on Wednesday that are expected to have a positive effect on the real estate sector.
“Increased focus on infrastructure especially construction of new roads, improvement of existing roads and coastal connectivity will go a long way to benefit the real estate sector,” said Mr Baijal.
India’s real estate industry has been hit hard by the government’s demonetisation move in November, its ban on 1,000- (Dh54.66) and 500-rupee banknotes to tackle the country’s problem with black money.
Property sales and launches at the end of last year plunged to the worst level since the global financial crisis, causing a 226 billion rupee loss in the industry’s fourth quarter, said Knight Frank last month.
Rebates on individual taxes unveiled in the budget could help increase disposable income and “might help spur consumption and also have a positive impact on demand for housing”, said Anshuman Magazine, the chairman of CBRE for India and South-east Asia.
“The government has also been accommodative of the concerns of the real estate sector,” he said. “The relaxation on long-term capital gains, joint development agreements, tax rebates for builders will help reduce their tax liability.”
Arun Jaitley, India’s finance minister, in his budget also announced the abolition of the Foreign Investment Promotion Board, a bureaucratic agency that was complicating the process for foreign direct investment (FDI). This is expected to benefit the property sector.
“While a clear policy outline is yet to be revealed, this is another positive step to liberalise FDI policy framework and ease regulatory hurdles in attracting investments,” said Mr Magazine.
Developers were upbeat on the budget but they said they want the government to make the process of securing clearances for projects much easier for them.
“A major impediment to real estate development in India remains the approval process,” said Surendra Hiranandani, the chairman and managing director of the House of Hiranandani, a luxury developer.
Property stocks rose on the positive sentiment in the sector generated by the budget.
The Bombay Stock Exchange real estate index, which includes DLF and Godrej Properties among others, started the day at 1,369.75 on Wednesday and climbed by 6 per cent to close at 1,451.89 on Friday.
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Email sent to Uber team from chief executive Dara Khosrowshahi
From: Dara
To: Team@
Date: March 25, 2019 at 11:45pm PT
Subj: Accelerating in the Middle East
Five years ago, Uber launched in the Middle East. It was the start of an incredible journey, with millions of riders and drivers finding new ways to move and work in a dynamic region that’s become so important to Uber. Now Pakistan is one of our fastest-growing markets in the world, women are driving with Uber across Saudi Arabia, and we chose Cairo to launch our first Uber Bus product late last year.
Today we are taking the next step in this journey—well, it’s more like a leap, and a big one: in a few minutes, we’ll announce that we’ve agreed to acquire Careem. Importantly, we intend to operate Careem independently, under the leadership of co-founder and current CEO Mudassir Sheikha. I’ve gotten to know both co-founders, Mudassir and Magnus Olsson, and what they have built is truly extraordinary. They are first-class entrepreneurs who share our platform vision and, like us, have launched a wide range of products—from digital payments to food delivery—to serve consumers.
I expect many of you will ask how we arrived at this structure, meaning allowing Careem to maintain an independent brand and operate separately. After careful consideration, we decided that this framework has the advantage of letting us build new products and try new ideas across not one, but two, strong brands, with strong operators within each. Over time, by integrating parts of our networks, we can operate more efficiently, achieve even lower wait times, expand new products like high-capacity vehicles and payments, and quicken the already remarkable pace of innovation in the region.
This acquisition is subject to regulatory approval in various countries, which we don’t expect before Q1 2020. Until then, nothing changes. And since both companies will continue to largely operate separately after the acquisition, very little will change in either teams’ day-to-day operations post-close. Today’s news is a testament to the incredible business our team has worked so hard to build.
It’s a great day for the Middle East, for the region’s thriving tech sector, for Careem, and for Uber.
Uber on,
Dara
Essentials
The flights
Emirates flies direct from Dubai to Seattle from Dh6,755 return in economy and Dh24,775 in business class.
The cruise
UnCruise Adventures offers a variety of small-ship cruises in Alaska and around the world. A 14-day Alaska’s Inside Passage and San Juans Cruise from Seattle to Juneau or reverse costs from $4,695 (Dh17,246), including accommodation, food and most activities. Trips in 2019 start in April and run until September.
UAE currency: the story behind the money in your pockets
The specs
Engine: 4.0-litre V8 twin-turbocharged and three electric motors
Power: Combined output 920hp
Torque: 730Nm at 4,000-7,000rpm
Transmission: 8-speed dual-clutch automatic
Fuel consumption: 11.2L/100km
On sale: Now, deliveries expected later in 2025
Price: expected to start at Dh1,432,000
Killing of Qassem Suleimani
If you go
- The nearest international airport to the start of the Chuysky Trakt is in Novosibirsk. Emirates (www.emirates.com) offer codeshare flights with S7 Airlines (www.s7.ru) via Moscow for US$5,300 (Dh19,467) return including taxes. Cheaper flights are available on Flydubai and Air Astana or Aeroflot combination, flying via Astana in Kazakhstan or Moscow. Economy class tickets are available for US$650 (Dh2,400).
- The Double Tree by Hilton in Novosibirsk ( 7 383 2230100,) has double rooms from US$60 (Dh220). You can rent cabins at camp grounds or rooms in guesthouses in the towns for around US$25 (Dh90).
- The transport Minibuses run along the Chuysky Trakt but if you want to stop for sightseeing, hire a taxi from Gorno-Altaisk for about US$100 (Dh360) a day. Take a Russian phrasebook or download a translation app. Tour companies such as Altair-Tour ( 7 383 2125115 ) offer hiking and adventure packages.
UAE currency: the story behind the money in your pockets
MATCH INFO
Bangla Tigers 108-5 (10 ovs)
Ingram 37, Rossouw 26, Pretorius 2-10
Deccan Gladiators 109-4 (9.5 ovs)
Watson 41, Devcich 27, Wiese 2-15
Gladiators win by six wickets
'Jurassic%20World%20Dominion'
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