Haryana govt allocates Rs 5,893 crore in FY24 Budget for urban development

To boost urban infrastructure and development in the state, the Haryana government, while announcing the Budget for the financial year 2023-24, allocated Rs 5,893 crore for urban development and the housing sector, an increase of 11.1 per cent over revised estimates for the current year. The state's overall budget allocation was Rs 1.83 trillion.

The Bharatiya Janata Party led-government plans to build 1 lakh houses in the financial year 2023-24. The government will also set up two data centre parks in the state, one each in Gurugram and Ambala, chief minister Manohar Lal Khattar announced in his Budget speech. The government has also allocated Rs 5,408 crore for the development of roads, highways and railways.

NCR-based realty players applauded the government’s announcement and feel that it will be a transformative step for Haryana’s real estate sector. 

Pradeep Aggarwal, founder & chairman, Signature Global (India) said, "The infrastructure-related policies outlined in the Haryana Budget 2023 are both encouraging and empowering and the allocation of Rs 5,408 crores for roads, highways, and railways, along with the proposed construction of the Gurugram metro and three other metro links in the region, is a game-changer for Haryana’s real estate sector."

The budget allocation for infrastructure development of the state demonstrates the state’s readiness to become a powerhouse of economic growth and development. All the announced policies will help the state achieve positive outcomes and will also fuel the real estate sector, providing a newfound level of opportunity for realty players, said Abhishek Trehan, executive director, Trehan Iris.

According to Gurugram-based developers, the metro links announced which include RezangLa Chowk to IGI Delhi, Southern Peripheral Road (SPR) to Global City Metro Link and Manesar to Panchgaon, will not only enhance connectivity but also create new opportunities for the state’s economic growth and development. It will provide ample opportunities for local developers to explore the potential of such untapped markets in Haryana.

Another developer, Navdeep Sardana, Whiteland Corporation MD feels that the announcement of metro links in Budget 2023 will have a very significant impact in the realty market of Southern Peripheral Road (SPR) as it is one of the most emerging markets in Haryana which will drive the growth and boost the demand for realty market.

Many prominent developers including M3M, DLF, Tata and whiteland have their presence in the Southern Peripheral Road.

The availability of efficient and convenient transportation options will be a key factor in driving the growth of the real estate market in Haryana and such government’s push for infrastructure development will take the growth a step further, say local players. 

While welcoming the proposed subway connection to Panchgaon, Santosh Agarwal, CFO & executive director, Alpha Corp said that the Gurugram city's transportation system will be reinforced as a result of the government's plan and the improved connectivity will generate new chances for the state's economic growth which will further give impetus to the real estate sector of the region. 

CM Khattar also announced a scheme to settle the arrears of renewal fees in the town and country planning department. The scheme will provide a waiver of Rs 2,000 crore interest which is due to the town and country planning department of Haryana.

He said that if the licensee has taken a partial possession certificate, then he will have to pay only 10 per cent of the principal amount of the outstanding renewal fee instead of interest, while the licensee of incomplete projects will have to pay only 25 percent of the renewal fee instead of interest.