Economic Survey 2025–26 Reinforces Real Estate as the Backbone of Hyderabad’s Growth: CREDAI Hyderabad

Hyderabad, Jan 30 (TNT):Welcoming the Economic Survey 2025–26, CREDAI Hyderabad on Friday stated that the Survey clearly positions real estate, construction, and urban infrastructure as central pillars of Hyderabad’s sustained economic expansion.

With India’s GDP projected to grow at 7.4% in FY26, backed by Gross Fixed Capital Formation close to 30% of GDP and a 9.1% growth in services, the Survey underlines the critical role of capital-intensive sectors such as housing and infrastructure in driving long-term growth.

Fiscal consolidation, with the deficit estimated at around 4.8% of GDP, further strengthens the macro environment for real estate investment.

Hyderabad’s growth trajectory is marked by simultaneous urban densification and rapid peripheral expansion, reflecting strong end-user and investor demand across residential, commercial, and mixed-use developments.

CREDAI Hyderabad noted that this pattern calls for forward-looking urban planning, where infrastructure, transit, and utilities are delivered in step with real estate development.

The Survey’s sectoral data reinforces this linkage, with Financial, Real Estate and Professional Services growing by 9.9% in H1 FY26, while construction recorded 7.4% growth, highlighting the multiplier impact of public capital expenditure on housing supply, employment generation, and allied industries.

Commenting on the Economic Survey, Mr. Jagannath Rao Bandari, President-elect, CREDAI Hyderabad, said: “The Economic Survey validates Hyderabad’s real estate–led growth model, where housing, commercial development, and infrastructure expansion reinforce each other. To sustain this momentum, policy must focus on unlocking land supply, strengthening mobility networks, and ensuring predictable, trust-based regulatory frameworks.”

CREDAI Hyderabad aligned with the Survey’s observation that the high cost of capital remains a structural constraint for the sector. It called for risk-mitigation instruments, partial credit guarantees, and improved access to long-term finance, especially to support housing supply across affordable and mid-income segments.

Ahead of the Union Budget 2026, CREDAI Hyderabad expects continued emphasis on public capex and infrastructure funding to sustain 7–8% construction growth, alongside stronger support for PMAY 2.0, single-window approvals, and viability gap funding for affordable housing projects.

On homebuyer taxation, CREDAI Hyderabad urged reforms such as higher income-tax deductions on home loans, NPS-style tax incentives linked to housing finance, and rationalisation of stamp duties, measures that would significantly improve affordability and boost middle-class homeownership.

CREDAI Hyderabad reaffirmed its commitment to reform-led growth, housing for all, and sustainable urban development, and expressed confidence that enabling policies will further strengthen Hyderabad’s role in India’s journey towards a $5 trillion economy.

TNT TS

 

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