Budget deprived of measure to boost real estate sector: Omaxe Limited CEO

Omaxe Limited chief executive officer Mohit Goel on Saturday said that the Union Budget for the fiscal year 2015-16 is deprived of any concrete measures to boost the real estate sector.

"The Budget 2015 has put a lot of emphasis on social security, infrastructure and skill development. However, the real estate sector continues to be deprived of any real measures to boost the sector and kick-start housing demand. No benefits on personal income tax front were given to encourage savings," said Goel.

"The government has found other ways to spur savings, which might not necessarily result in any captive investment. The increase in service tax is another negative for real estate. The decrease in corporate tax may not result in investment," he added.

Goel further opined that the various initiatives of the government needed 'concrete direction'.

"The Government's vision on Housing for all by 2022 and Smart Cities needs more concrete direction. I believe that the measures announced today in the Budget will see a far reaching impact in the years ahead, but not immediately," he said.

Union Finance Minister Arun Jaitley presented Budget for the fiscal 2015-16 in the parliament earlier today.

The Finance Minister announced a host of measures including the slashing of corporate tax to 25 per cent from 30 percent over the next four years and the General Anti-Avoidance Rules or GAAR would be deferred by two years.

He also announced that the government will target a 3.9 per cent fiscal deficit for year starting April 1, 2015, adding that the real GDP growth is expected to be 7.4 percent.

Prime Minister Narendra Modi has also hailed the Union Budget for 2015-16 as a budget with a clear vision, and one that is progressive, positive, practical, pragmatic and prudent.