Page 31 - Nuvama | IC Report 2023

INDIA: THE 5D ADVANTAGE

In order to bring in a balance in the rights of buyers and sellers, government introduced the Real Estate
Regulatory Authority (RERA) Act in 2017. The Act essentially disallowed developers to divert funds from
an unfinished project towards another project. Furthermore, project deadlines were made binding on
developers, with well-defined penalties. Separate RERA courts were set up to ensure speedy justice.
This has helped restore confidence among potential buyers. It is no coincidence that the real estate
market in India is seeing good traction after nearly a decade.

Provision of basic amenities
Household empowerment is restricted to not just securing their rights as consumers, but also entails
serving their basic needs as citizens—be it food, cooking gas, electricity, and the like. Villages have
been electrified at a rapid pace and the electricity deficit has dramatically reduced. Similarly, the
number of LPG consumers has shot up by 75% over the last seven years. Due to DBT, government was
able to make large fiscal transfers timely to safeguard lives during the pandemic.

Exhibit 10:
India’s power
deficit has
(9) declined
significantly
(8)

(7)
(6)

(5)
(%)
(4)

(3)

(2)
(1)

0
Jan ‘04 Jan ‘07 Jan ‘10 Jan ‘13 Jan ‘16 Jan ‘19 Jan ‘22

India power deficit (5 year moving average)
Source: CMIE, Nuvama Research

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