Australia Current Affairs - 2020

India ranked 34th in JLL and LaSalle’s biennial GRETI

Sustainability Initiatives and regulatory reforms have enhanced higher levels of transparency in the real estate industry of India as a result of which India improved its ranking to 34th place in the biennial Global Real Estate Transparency Index (GRETI).

GRETI

The Index GRETI has set a unique benchmark in terms of transparency in the real estate market across the globe and has also served as an essential guide for international companies investing & operating in the foreign markets.

GRETI is released biennially by the United States-based property and investment management services firm- Jones Lang LaSalle Incorporated (JLL). GRETI was first released in the year 1999. This year marked the 11th edition of GRETI. A total of 163 cities and 99 countries have been covered in the 11th edition of GRETI.

India’s ranking explained in Depth

India ranked 34th in 2020 edition had made a significant improvement in ranking as in the 2014 edition, India was ranked at the 39th place globally. For this improvement, GRETI has citied improvements and reforms such as Real Estate Investment Trust (REIT) framework improved, RERA Act 2016, Benami Transaction Prohibition (Amendment) Act 2016, Goods and Services Tax (GST), etc.

India’s overall score in 2020 GRETI ranking was 2.69 (Higher the score- Lower the Ranking).

Other Countries in the Ranking

  • United Kingdom (overall score: 1.31) has been ranked at the first place in GRETI 2020 ranking
  • United States (1.35) and Australia (1.39) have been ranked at second and third place respectively
  • Hong Kong (2.03) was ranked at 15th place, while Taiwan (Republic of China) (2.34) has been ranked at 23rd place
  • China ranked 32nd with a 2.59 overall score
  • Sri Lanka at 65th place,  Myanmar at 72nd, Pakistan at 73rd

RCEP Member States hope India will Rejoin the Proposed Trade Agreement

A virtual inter-sessional ministerial meeting of the proposed free trade agreement of a group of 15 countries from the Indo Pacific region- Regional Comprehensive Economic Partnership (RCEP) was conducted on 23rd June 2020. Apart from the 10 ASEAN countries, Japan, South Korea, New Zealand, Australia and China are the 15 countries that are negotiating for the free trade agreement.

Since the outbreak of the global pandemic in March 2020, this was the 3rd major RCEP meet, earlier the 29th and the 30th RCEP Trade Negotiating Committee meeting were conducted in the months of April and May in which all the 15 participating countries have reaffirmed to sign the agreement in 2020.

The economic crisis that the COVID-19 pandemic has brought has accelerated the RCEP negotiations over the last months as all the 15 countries under the negotiating agreement are looking for a larger market for their economic recovery. As a result, India with a population of more than 130 crores is being recognized as a valuable participant under the free trade agreement.

In a joint statement released after the ministerial-level meeting of RCEP countries on 24th June 2020, it was stated that the RCEP group remains open for India, the participation of India in RCEP will contribute to the prosperity and overall advancement of the region.

India’s stance to RCEP

India pulled out of the RCEP group in November 2019 as opening up the market through this free trade agreement can put the domestic manufacturers and producers of India at risk of getting swamped by imports from China.

Also, India has already a trade deficit with 11 out of the 15 countries participating in the RCEP agreement.