The Indian real estate industry is an ever-evolving market. While the pandemic did significantly impact the sector; the sector resiliently walked on the path to recovery. This trend was highlighted by a report released at the recent annual CII Real Estate Conference 2022. The industry leaders further shared that various promising projects across office, I&L, residential, and alternative real estate segments will be witnessed in the times to come.
Growth in the Indian real estate industry creating employment opportunities
According to India Brand Equity Foundation’s (IBEF) research, the real estate sector is now treading on the growth trajectory and is expected to be a $1 trillion market by 2030. It is projected that by 2025, the sector will contribute 13% to the country’s GDP. This will eventually lead to the generation of a plethora of jobs across roles. Hence, employment will be created across the entire white to blue collar segments in the real estate industry.
The IBEF study further states that our country currently is the second highest employment generator in the real estate segment. This implies that the industry accounts for 6-7% of the economy and has a direct impact on approximately 250 odd sectors. Furthermore, by the end of 2022, approximately 46 million square feet are expected to be delivered by 2022. These statistics are indicative of the fact that the sector will boost the economic growth of the country with its bolstered growth in the future.
Digital disruption of the sector leading to employment generation
In this tech-driven world, digitization of the real estate sector is also on a rise. New-age technologies such as AI, ML, AR, VR, Metaverse, etc. are increasingly making their way into the segment and hence PropTech is growing at a rapid pace.
In the wake of technological advancements, it is expected that India will have a 40% market share in the real estate industry in the next 2-3 years. This unprecedented growth of real estate leading to a surge in demand for spaces along with digital disruption is expected to generate both direct and indirect employment opportunities. These factors are further scaling employment avenues in the country as the need for digital literate talent to cater to technological advancements is at an all-time high.
Demand for spaces across segments offering employment avenues
Physical offices are here to stay and hybrid working is on a rise. These trends are driving the office expansion segment. Furthermore, leasing activities across all sectors are also on a surge and will increase all the more by the end of 2022. According to statistic, the demand for housing is strong due to the rise in the young population and growing urbanization. Moreover, the tech, IT and retail sectors will boost the demand for office spaces. These factors collaboratively will lead to the creation of jobs in the real estate industry. The research also states that the industry will be employing nearly 70 million people by the end of 2022. Owing to industrialization and digital advancements, this figure is indeed projected to grow. Job prospects such as real estate agents, consultancy firms, business development, sales, marketing, etc. will gain traction in the times ahead.
Government’s initiatives driving employment generation
The government’s initiative, ‘Housing for All by 2022’ is in itself a major employment generator in the real estate industry. In fact, under the Pradhan Mantri Awas Yojana (Urban) Scheme, 1.12 crore houses will be developed specifically in the urban areas by 2022 and this will create approximately 1.2 crore jobs.
The Indian real estate sector is booming rapidly. The demand for residential and office spaces rising coupled with the growing digital adoption and government initiatives are together fuelling the growth of the real estate sector. They are further carving the path for the generation of employment avenues across the entire white collar to blue collar segments as well as across various roles.
Views expressed above are the author’s own.
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