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and MFIs and therefore been very supportive to economic growth. Also, the strengthening of
global recovery, accommodative monetary and financial conditions and the increasing phase
of vaccination process is expected to normalize the economic activity. With the second wave
quite devastating on the health side, the economic impact has been limited because the second
wave was much shorter in duration compared to the first wave and the economic restrictions
that were placed were primarily at the state level. The supply side reforms undertaken by
the government in sectors such as agriculture, labour, export PLI scheme, change in MSME
definition, creation of the bank etc. are going to push growth in the future. The economy will
start witnessing a growth of 6.5 per cent to 7 per cent from fiscal 2023, helped by various
reforms undertaken by the Government and as COVID-19 vaccination drive progress.
4.2.1 Real Estate Sector
India’s real estate market is expected to touch $1 trillion by 2030 as demand for housing recovers
from the “setback” caused by the first and second waves of the COVID-19 pandemic. Rising
demand for housing and reforms of the past seven years such as the Real Estate (Regulation
and Development) Act, the Model Tenancy Act and steps taken to facilitate doing business in
India will drive the market. RERA has transformed real estate and changed the perception of
the sector. About 67,000 real estate projects and 52,000 property agents are registered under
RERA. Real estate authorities set up under this law have cleared more than 70,000 cases.
On the ease of doing business, India has made significant improvement on the parameter of
construction permits and has risen in the rankings to 27 from 186 earlier. The Government has
allowed permission for construction to be given online, which will help to eliminate delays
and corrupt practices.
4.3 Housing Sector & Housing Finance Companies
The revival in the housing sector from first wave of the pandemic is well reflected in the quarterly
movement of disbursements of individual housing loan by HFCs, PSBs and Private Banks.
Graph 4.1: Housing Loan Disbursements (` in Crore)
Source: NHB
The disbursements across the financial institutions improved from Q2FY21 onwards as
the economy rebound to the normalcy. As on March 2021, the total disbursements were
`1,72,416 crore from `1,41,664 crore with a sequential growth of 21.71 per cent. The consistent
Annual Report 2020-21 | 255
global recovery, accommodative monetary and financial conditions and the increasing phase
of vaccination process is expected to normalize the economic activity. With the second wave
quite devastating on the health side, the economic impact has been limited because the second
wave was much shorter in duration compared to the first wave and the economic restrictions
that were placed were primarily at the state level. The supply side reforms undertaken by
the government in sectors such as agriculture, labour, export PLI scheme, change in MSME
definition, creation of the bank etc. are going to push growth in the future. The economy will
start witnessing a growth of 6.5 per cent to 7 per cent from fiscal 2023, helped by various
reforms undertaken by the Government and as COVID-19 vaccination drive progress.
4.2.1 Real Estate Sector
India’s real estate market is expected to touch $1 trillion by 2030 as demand for housing recovers
from the “setback” caused by the first and second waves of the COVID-19 pandemic. Rising
demand for housing and reforms of the past seven years such as the Real Estate (Regulation
and Development) Act, the Model Tenancy Act and steps taken to facilitate doing business in
India will drive the market. RERA has transformed real estate and changed the perception of
the sector. About 67,000 real estate projects and 52,000 property agents are registered under
RERA. Real estate authorities set up under this law have cleared more than 70,000 cases.
On the ease of doing business, India has made significant improvement on the parameter of
construction permits and has risen in the rankings to 27 from 186 earlier. The Government has
allowed permission for construction to be given online, which will help to eliminate delays
and corrupt practices.
4.3 Housing Sector & Housing Finance Companies
The revival in the housing sector from first wave of the pandemic is well reflected in the quarterly
movement of disbursements of individual housing loan by HFCs, PSBs and Private Banks.
Graph 4.1: Housing Loan Disbursements (` in Crore)
Source: NHB
The disbursements across the financial institutions improved from Q2FY21 onwards as
the economy rebound to the normalcy. As on March 2021, the total disbursements were
`1,72,416 crore from `1,41,664 crore with a sequential growth of 21.71 per cent. The consistent
Annual Report 2020-21 | 255
