Billionaire Indo-Canadian landlord Bob Dhillon, who is on the Canadian prime minister’s entourage currently visiting India, said, “India can be a developer’s dream because of so many factors.” The Japan-born, India-educated businessman also said he “will be the first person to invest in India,” if the country “now goes for the kind of reforms it has just announced for FDI in retail.”
Dhillon, who is the biggest Indian-origin landlord in the western world, said that Indian policy-makers need to unlock the real estate market for institutional investors and then see the results.
“As I said, India is a developer’s dream because of its demographics, migration from rural to urban areas, and the breakdown of extended family to the nucleus,” Dhillon said in an interview before his departure for New Delhi. “Any push to foreign investment in real estate will be a major boost to India’s GDP.”
Read more: International Business Times
Women to be the world’s biggest emerging market over next decade
Move over emerging economies. Instead, the largest ’emerging market’ in the world will be represented by women over the next decade.
So far, the world has focused on the growth opportunity in emerging economies, and the power they represent in driving consumer demand. Now, women seem to be providing that opportunity with their income expected to increase worldwide by as much as $5 trillion in the next five years, almost twice the growth in GDP expected from China and India together.
This has led to global research firm Espirito Santo saying in its analysis that the most powerful force in global demand over the next decade could be the changing role of women in the world economy, and not the progress in emerging economies, or on new advances in energy and health-related technologies.
Read more: The Times of India
New healthcare model for immediate help of road accident victims
Emergency care provider Aapka Urgicare, promoted by ex-Max Healthcare CEO Pervez Ahmed and Falck, Denmark’s biggest mobile healthcare provider, will together open a chain of 110 clinics in North India in the next four years, Falck’s India partner Vipin Khanna told Business Standard today.
The first clinic to take care of trauma patients, especially victims of road accidents, was opened by Delhi Chief Minister Sheila Dikshit here earlier this week.
The newly started venture aims at plugging the gap between primary general practitioners and the emergency rooms of hospitals through its clinics, each of which will have an average area of 5,000 square feet.
Read more: Business Standard
Now, Gurgaon has a hospital mall
The Fortis Memorial Research Institute (FMRI) – named the ‘next-generation concept hospital’- was officially inaugurated in Gurgaon on Monday. The facility is a unique combination of a multi-specialty hospital and a multi-brand shopping-mall, with eighteen retail and food outlets set up on the premises.
“This is a comprehensive institute, aimed at delivering cutting-edge medicine, in line with the best that is available in the West,” said Malvinder Singh, executive chairman, Fortis Healthcare Limited (FHL). At present, the FMRI has been equipped with 25 operating rooms and 450 beds. Fortis representatives say that this institute will provide ‘advanced multi-clinical treatments for complex medical problems.’
Read more: The Times of India
Japan looking at major role in developing India’s infra sector
Japan today said it is looking at playing a bigger role in development of India’s infrastructure, especially the construction sector.
“As many as 900 Japanese companies are currently invested in India, especially in the manufacturing sector…However, only a few companies have invested in infrastructure space.
Japan’s construction companies are capable enough to contribute in it and Japan government too has plans to invest in infra, Japanese Ambassador to India Takeshi Yagi said here.
Addressing the second Indo-Japan Construction Forum here, Yagi said his country has a role in augmenting infrastructure and Delhi Metro is a shining example of it.
The Indian government’s focus on infrastructure during the 12th Five Year Plan (2012-17) too offers a unique chance to Japanese investors to tap business opportunities here and showcase their products, he added.
Read more: The Financial Express
IIFCL to extend R300 cr credit enhancement for GMR roads
In a first, state-owned India Infrastructure Finance Company (IIFCL) will extend a R300-crore credit enhancement facility (CEF) to GMR Group for a road project.
Under the plan, IIFCL will provide a partial credit guarantee to enhance the ratings of the project bond issue, enabling the firm to raise long-term finances from insurance companies and pension funds at competitive rates.
CES facility by IIFCL, if extended to other players in the road sector, would help address funding woes in the the sector where investor interest has waned due to a variety of reasons, including delays in approvals and uncertainty on remunerative returns.
IIFCL CMD SK Goel told FE that the said transaction is for GMR J Expressways’ road project at Jadcharla in Andhra Pradesh. “We hope to complete credit enhancement deals worth R2,000 crore in 4-5 road projects by March-end. Transaction for the GMR road project will be finished by November 20,” Goel said.
Read more: The Financial Express
Audit cell to check city’s infrastructure projects
Lieutenant Governor Tajendra Khanna’s office has approved a proposal to set up an audit cell, which will check almost all the aspects of major infrastructure projects — from planning to safety to quality.
The cell will be formed with an aim to address issues related to bad roads and wrong planning of projects.
“It will consist of members from institutes such as CRRI, IIT, National Council of Building Materials, DTU and Jagori (a women’s group),” a government official said.
The official said the Lieutenant Governor has approved the plan.
“The cell will look at all future projects that come to the Unified Traffic and Transportation, Planning and Engineering Centre (UTTIPEC) for approval,” he said.
The audit check will be divided into two parts. “A safety audit based on UTTIPEC’s street design guidelines and another on quality or site audit based on the Indian Road Congress specifications. Once a project is approved by UTTIPEC, a quality audit will be carried out during construction,” the official said.
Read more: The Indian Express
Rlys set to begin work on R80k-cr DFC project
Indian Railways is all set to begin work on the Rs 80,000-crore dedicated freight corridor (DFC) project, connecting Punjab with West Bengal and UP with Maharashtra.
It will award tenders for the first 1,000 km of the 3,300-km project in the current financial year. The change of guard in the rail ministry has set the ball rolling on a host of pending projects, with DFC getting the priority from the new minister Pawan Bansal.
Bansal, who joined office on Monday, had told reporters that work on DFC needs to be expedited. After six years of inception, Dedicated Freight Corridor Corporation of India (DFCCIL) will be awarding its first project to private players for the construction of the corridor.
“Around 80% of the land required for the project has been acquired. Tenders for laying of the first 1,000 km of tracks (worth around R10,000 crore) would be awarded in this financial year. The deadline for the project is 2016-17,” said a senior railway officer.
Read more: The Financial Express
Reforms breathe life into retail sector
That’s is not all. The hypermarket retail chain subsidiary of Shoppers Stop Ltd, India’s oldest department retail chain, is also launching a more compact 28,000 sq ft store format early next year.
Other retailers such as Aditya Birla Retail Ltd of the Aditya Birla Group, the Reliance Retail Ltd unit of Reliance Industries Ltd and Pantaloon Retail India Ltd, India’s largest listed retail company by revenue, are following similar strategies. Some have begun downsizing large stores, launching new formats, exiting from existing ones and even checking out from some cities as they struggle to get their retail business models right.
Retail was one of the worst-hit sectors in the global financial crisis that took hold four years ago. Subhiksha Trading Services Ltd was forced to shut its 1,650 stores, while other retailers struggled with high debt and the increased cost of operations.
Now domestic companies are getting ready to compete with foreign retailers planning to enter the country, spurred by the government easing foreign direct investment (FDI) norms for single- and multi-brand retail.
Read more: Mint
Things an NRI must remember while selling property in India
The real estate market in India is growing and non-resident Indians (NRIs) are playing a key role in it. Here, we look at basic rules and regulations governing sale of property by NRIs in India.
Income-tax on sale
Profits earned by selling property in India will be liable to capital gains tax under the Income-Tax Act, 1961. Capital gain is the difference between the sale value of the property and its cost of purchase. Capital gains can be classified as short term (up to 36 months) or long term (more than 36 months), depending on the period for which the property is held. Short-term capital gain will be taxed at normal slab rates and long-term gain will be taxed at 20%, subject to certain conditions.