Foreign direct investment (FDI) in India’s booming real estate and housing market jumped 80 times between 2005 and 2010. Figures obtained by TOI show that in 2005, FDI in real estate was a mere Rs 171 crore. That soared to Rs 13,586 crore in 2009-10. In April and May this year, Rs 737 crore in FDI was pumped into the sector. (more…)

The Indian finance ministry has called for tougher foreign direct investment (FDI) norms in the housing and township sector. (more…)

The Indian government plans to tighten investment norms for non-resident Indians (NRI) in companies to ensure that they do not violate foreign direct investment (FDI) where such investment is banned such as with Indian real estate.

The Reserve Bank of India (RBI) has also mooted a proposal to withdraw the special status given to NRIs for investing in sectors such as aviation, housing and real estate.

NRIs, for example, are permitted to invest up to 100 per cent in air transport services as against only 49 per cent allowed to other foreign investors. Also, NRIs are exempt from the conditions imposed on minimum capitalisation norms in real estate as well as the minimum size of area to be developed for housing.

In the Indian real estate sector FDI policy has imposed certain key conditions like the minimum area to be developed should be 10 hectares in case of development of serviced housing plots, and built up area of 50,000 square metres in case of construction development projects. But these restrictions do not apply on NRIs.

Several controversial Goan real estate deals by foreigners in Goa are being probed and could well have been funded by proceeds from crime and narcotics trade, an Enforcement Directorate official Friday said. Other real estate in Goa purchased by foreign investors illegally may be confiscated (more…)

HUNDREDS of Britons may lose their holiday homes and life savings in the Indian tropical paradise of Goa after falling foul of changes in local laws and scams by builders and lawyers. (more…)

The government is weighing the impact of a possible three-year ban on stake sale by foreign investors in real estate projects, a decision that could affect future capital inflows into the sector. (more…)

The government in India wants to make it easier for foreign property investors and in particular for them to put their money into projects that relate to the hospitality sector and tourism. It is looking at changing the rules to allow overseas investors to be part of smaller real estate projects. (more…)

As property markets collapse world-wide, one of the few consolations for real-estate investors is that some governments have become more open to foreign non resident property owners. (more…)

Who is an NRI/PIO? (more…)

The Indian finance ministry has raised questions on the new foreign direct investment (FDI) rules announced earlier this year. (more…)