Stable repo rates expected to boost commercial realty developments

Predictable borrowing costs and GST reforms are expected to boost commercial real estate, housing demand and investor sentiment during the festive season across India

The Reserve Bank of India’s (RBI’s) unchanged stance on the repo rate is expected to spur developments in commercial real estate, where stable and predictable costs of capital are essential for large-scale investment decisions, said industry watchers.

 

“This predictability is critical for the commercial real estate sector, which continues its record-breaking run. Stable capital costs are essential for the large-scale investment decisions that have propelled India’s office market to new heights. The RBI is signalling that the Indian economy’s fundamentals are strong enough to weather external storms, a message that will resonate strongly with global investors,” said Dr