Capital flows into the Indian property market stood at $ 2.6 billion in 2017, ten times higher than the outflows, as policy reforms coupled with an impetus for affordable housing and possibility for REITs infused confidence among the stakeholders, Knight Frank said today.

Cross-border capital inflows at $ 2.6 bn is a 31 per cent growth over 2016.

India ranks 19 among the 73 countries that attracted cross-border capital into their property market in 2017. India ranks ahead of its Asia Pacific regional counterparts Malaysia, Thailand, Indonesia, Vietnam and Philippines, which collectively attracted lesser capital flows compared to India.

“Led by a battery of reforms like RERA, GST and demonetisation, the attractiveness of Indian real estate potential has caught the fancy of international investors and developers alike resulting into this favourable investment account,” Shishir Baijal, Chairman & Managing Director, Knight Frank India, said.

In the latest four-year period (2014 – 2017), the inflows were over four times the outflows compared to the earlier four-year period (2010 – 2013) when they were at par. This highlights a paradigm shift in Indian realty’s potential as an attractive investment avenue, Baijal said.

Compared to 86 per cent share in 2016, United States, Canada and Singapore collectively contributed to 84 percent of capital inflows to Indian property followed by United Kingdom, United Arab Emirates and Hong Kong, Knight Frank said.

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