Knight Frank: India's Real Estate GDP share could reach 20% by 2047
Gulam Zia of Knight Frank projects the construction sector will grow from its current 8-9% contribution to 15-20% of India's economy by the centenary year.
Gulam Zia, International Partner and Senior Executive Director at Knight Frank, stated that real estate may contribute between 15 and 20 per cent to India's GDP by 2047. The current share is estimated at 8-9 per cent of a $600 billion industry. By the time India reaches a GDP of $25 trillion to $30 trillion, Zia said the sector should grow to a value of $8 trillion to $10 trillion. Growth will likely occur across residential, office, warehousing, logistics, education and healthcare segments. Zia noted that several challenges remain for the industry's expansion. Affordable housing is a significant challenge. Organised developers are focusing on mid-to-upper and premium segments due to higher profit margins, leaving affordable housing largely neglected. The sector faces multifold difficulties, according to Zia.
