PROPGUIDE − A Complete Property Guide
#happyhome

Indian Ministers Love To Park Their Money In Real Estate

Indian Ministers Love To Park Their Money In Real Estate
Prime Minister Narendra Modi’s Council of Ministers went through a major reshuffle earlier this month. In the second reshuffle since the NDA government came to power in May 2014, 19 new minister were inducted. (Dreamstime)

A slowdown that has been shadowing India’s real estate sector for the past couple of years has not been able to shake Indians’ unwavering belief in property markets – be it the common man or ministers in the government.

According to an annual report by PropTiger Datalabs for the financial year 2015-16 (FY16), end users accounted for 97 per cent of the overall housing demand in the top nine cities of the country. That shows how the common man is driving the market in difficult times.

In the second major reshuffle of the Council of Ministers since the National Democratic Alliance (NDA) government took charge at the Centre in May 2014, Modi inducted 19 new faces as ministers on July 5. The number of the ministers at present stands at 76, including the prime minister. A look at the asset declaration of the new Union Council of Ministers shows how the drivers of the country’s corridors of power reckon real estate as their preferred asset class. A little over 70 per cent of members of the Prime Minister Narendra Modi-led Council of Ministers have invested more than half their assets in real estate.

A detailed analysis of the declared assets of the ministers reveals some interesting facts about their real estate holdings. PropGuide lists a few of them:

Managing his finances well: Arun Jaitley

As the finance minister, Arun Jaitley has attempted to usher in a new era of reforms in India’s financial sector. His sound understanding of economics is also visible in his distribution of personal assets across classes. Not only is Jaitley the richest man in PM Modi’s Council of Ministers, with Rs 113 crore of total assets, but his faith in real estate as an asset class is also revealed by the fact that he holds the largest real estate assets among the ministers in terms of value – worth Rs 75 crore. Jointly with his wife Sangeeta Jaitley, the finance minister owns residential properties across Delhi, Gurgaon, Gandhinagar and Amritsar, a plot in Faridabad, and a commercial space in Cyber Park Complex in Gurgaon. His residences in the national capital region include two houses in Delhi’s posh Kailash Colony, a bungalow at the Todar Mal Road in central Delhi, an apartment in Aralia DLF Golf Link, and a plot each in Gandhinagar and Amritsar.

Among the richest ministers by total assets, Jaitley is followed by Food Processing Industries Minister Harsimrat Kaur Badal; Minister of State (independent charge) for power, coal, new & renewable energy and mines Piyush Goyal; MoS for civil aviation Jayant Sinha; and MoS for science & technology YS Chowdary. In holding the most valued real estate assets, Jaitley is followed by Harsimrat Kaur Badal, MoS for law & justice P P Chaudhary, Woman & Child Development Minister Maneka Gandhi, and MoS (independent charge) for youth affairs & sports Vijay Goel.

Modi has a rich Council of Ministers

The number of rich ministers in PM Modi’s Council is quite high. As many as 18 ministers have more than Rs 10 crore of assets. And, only five of them are not crorepatis (with less than Rs 1 crore worth of total assets. The sum of the total assets of the 76 ministers comes to Rs 949.7 crore, or an average of Rs 12.5 crore per minister.

13 ministers are property pundits

Among the 76 ministers in the government, at least 13 have invested more than Rs 10 crore in real estate. And their combined real estate assets are worth Rs 363.2 crore. With the total real estate holdings of all 76 ministers at a whopping 519.9 crore, the average real estate ownership among India’s ministers comes to Rs 6.8 crore.

71% of all ministers have more than half their assets invested in real estate

While 54 ministers in the Union government have real estate as more than half of their total assets, PM Modi, whose total assets stand at Rs 1.7 crore, has 60 per cent (Rs 1 core) parked in real estate. The average real estate holdings as a proportion of combined total assets for the 76 ministers comes to a handsome 54.7 per cent.

7 ministers have more than 90% of their total assets invested in real estate

While seven ministers in the government have invested more than 90 per cent of their total assets in the form of real estate, only 10 ministers have less than 25 per cent of their all assets parked in real estate.

immovable assets four-01 (1)

For regular updates on real estate, click here


Tags: Prime Minister Narendra Modi, News And Views, infographics, propguide, Central Government, Cabinet Reshuffle, Cabinet Expansion, Cabinet Ministers Real Estate Assets, Asset Declaration, Council of Ministers


#Budget2017: 5 Things Real Estate Allied Sectors Are Expecting

When Finance Minister Arun Jaitley announces the Union Budget 2017-18 on February 1, real estate allied industries will be expecting to hear from him these things.

January 16 2017

+ Click Here To Read This Article

#Budget2017: 5 Things Investors Want From Jaitley

When finance Minister Arun Jaitley announces the Union Budget 2017-18 on February 1, real estate investors will be expecting to hear from him these things.

January 13 2017

+ Click Here To Read This Article

Affordable Homes: How Govt Can Make Them Feasible For Developers

The Centre plans to build affordable homes for the country’s low-income groups and economically weaker sections under the Housing for all by 2022 scheme. A look at how it can encourage more interest from developers to participate in the process.

October 23 2015

+ Click Here To Read This Article

5 Modi Govt Measures That Make Realty Investments Attractive To NRI Investors In Silicon Valley

In the backdrop of his visit to the US, PropGuide looks at the steps Prime Minister Narendra Modi took to make NRI investments in India's real estate sector easy.

September 24 2015

+ Click Here To Read This Article

What PM Narendra Modi Can Do For NRI Real Estate Investors in Silicon Valley

Prime Minister Narendra Modi is set to meet Silicon Valley's major business leaders during his visit to the US starting September 24. Here is how he can encourage real estate investors from the Valley to invest in Indian real estate.

September 23 2015

+ Click Here To Read This Article

#Budget2017: Arun Jaitley Tweaks Definition To Make Housing More Affordable

Things are looking up for the Housing For All 2022 program of Central Government after the announcement of annual budget 2017, by Finance Minister Arun Jaitley. Giving infrastructure status to “Housing For All” is a welcome step taken by the Central Government. This would henceforth help the developers in availing loans from banks other nationalised financial institutions.

February 01 2017

+ Click Here To Read This Article

#Budget2017: FDI Norms May Be Eased Later This Year

Finance Minister Arun Jaitley announces the abolition of Foreign Investment Promotion Board (FIPB).

February 01 2017

+ Click Here To Read This Article

#Budget2017: Was This A Good Budget For Salaried, Genuine Home Buyers?

Those earning between Rs 2.5 and Rs 5 lakh per annum will now contribute only five per cent towards income-tax. This was previously 10 per cent.

February 01 2017

+ Click Here To Read This Article

Here are the week’s top news stories from the real estate sector.

Here are today’s top news stories from the real estate sector.

Confused about the the difference between carpet area, built-up area and super built-up area? Here...

Pune real estate market is bustling with development of under construction as well as ready for...

Goods And Services Taxes (GST): The Rajya Sabha on Wednesday passed the Constitution Amendment Bill...

 Union Budget 2017-18 is being presented by Finance Minister Arun Jaitley today. This Budget...

If you are looking for properties for investment that will see quick appreciation in prices,...

A positive move, provisions for capital gains tax stands tweaked, much to the benefit of the...

A building code is a set of norms that govern construction of buildings by stipulating minimum...

PropGuide simplifies complex real estate jargons for you.

Proptiger has released it's quarterly review report on India's real estate sector. Ankur Dhawan,...

Sunil Mishra, Chief Business Officer, PropTiger, talks on new online realty platforms for NRIs.

Subscribe Now

To stay tuned with real estate updates

Pick:

x +

Drop Your Query here


Top