2025: Positive Investor Sentiment to Prevail as Real Estate Grows across Asset Classes
India’s real GDP growth for the Sept-24 quarter stood at 5.4%. The CPI inflation spike seen in October reduced significantly to ~5.2% level as of December’ 24, diminishing fears of sustained inflationary conditions in the economy. Here is the outlook for 2025:
- For 2024-25, the Reserve Bank of India (RBI) projected India’s real GDP growth at 6.6 per cent, with risks evenly balanced.
- GDP forecast was revised lower by RBI in a recent Jan-25 assessment owing to slower-than-expected Sept-24 quarter results, although it’s widely perceived as temporary.
- Institutional inflows to real estate continue to remain strong, with 2024 recording highest volume since 2019.
- Diversification of funds to various asset classes within CRE remains healthy, signaling a broad-based interest amongst investors.
Click to further explore 2024 PE and REIT fund deployment, REITs and INVITS, Commercial office purchase and more.