Economic Survey acknowledges services sector significance but raises concerns, suggesting phased FDI retail approach in metros, potentially with a lower cap.
India's housing sector's GDP contribution is projected to rise from 5% to 6% due to increased investment, but the 2012-13 Budget lacks substantial support for the real estate industry's growth.
Indian real estate is experiencing a resurgence due to increased construction, especially in affordable housing, and record-low home loan rates. This has led to renewed optimism among consumers, particularly in Tier II and Tier III cities.
Finance Minister P. Chidambaram's decision to lower home loan rates highlights a slowdown in various sectors, despite commercial real estate thriving.