New Delhi [India], January 6 (ANI): Niranjan Hiranandani, Managing director of Hiranandani Group after taking part in the pre-budget consultation of the Finance Ministry on Monday, lauded the government's approach to addressing industry concerns during a pre-budget meeting with Finance Minister Nirmala Sitharaman.
He stated that critical issues including affordable housing, rental housing, slum redevelopment, and infrastructure development were discussed and the government also looking for the creation of a better environment for growth.
Speaking about the meeting, Hiranandani said, "The overall meeting with the finance minister went extremely well. We came to understand that the government is looking forward to suggestions from the industry. We were very happy to be able to collaborate with the government."
Hiranandani raised concerns over the declining growth in affordable housing, describing it as an unprecedented phenomenon in his four-decade-long career. He stated, "In my whole career of 40-plus years, this is the first year where affordable housing growth is negative. It has never happened in my whole career. So I think the focus on the PMA wise scheme for the purposes of incentivizing affordable housing was a major thing."
He also highlighted the need for a shift toward rental housing, an area he believes has been overlooked. "Up till now today, we are only talking about ownership housing, but a focus needs also to be done on rental housing. Even in the richest country in the world, the United States, 50 per cent of the people live in rental housing. So we need to look at it," he said, urging for broader incentives similar to those provided for industrial workers.
Discussing urban redevelopment, Hiranandani emphasised addressing slum conditions in Mumbai.
"We have started schemes, also the Dharavi redevelopment and another scheme, but that's less than 10 per cent of the whole of Mumbai slums. So a focus on how we can take up slums and have a scheme to eliminate slums of Mumbai is a concept that we have represented," he said.
He also pointed out challenges in urban infrastructure, including last-mile connectivity, pedestrian facilities, and women's safety.
Additionally, he suggested measures for enhancing energy efficiency and environmental sustainability in transportation.
Addressing capital gains tax, Hiranandani noted the need for more inclusive exemptions.
"For instance, in case of capital gains, if I sell a house and buy two houses, that is capital gains tax exempt. But then, if I have three children and I want to buy three houses, there is no exemption for capital gains," he explained.
Hiranandani concluded by praising the government's growth-oriented vision. "One thing was very clear to us that they want the growth of the country. They want a better environment to be created," he said, expressing optimism about the upcoming Union Budget. (ANI)