Better data on the industry and several green initiatives taken in the past have pushed India's Global Real Estate Transparency Index ranking to 34, a notch above from its previous ranking, JLL property consultant has said.
The country ranked 35th in 2018; 36th in 2016; and 39th in 2014. India also ranks among the top 20 countries in the 'sustainability transparency' index. Its real estate market has been ranked in the 'semi transparent zone' category by JLL.
The top 10 countries with the maximum transparency are the United Kingdom, the United States, Australia, France, Canada, New Zealand, the Netherlands, Ireland, Sweden and Germany.
"The country ranks 34th globally on the index, with higher levels of transparency observed in India due to regulatory reforms, enhanced market data and sustainability initiatives," a JLL statement said.
Besides India, other countries like Indonesia, the Philippines and Vietnam also rank among the top improvers. China ranks on the 32nd position; Sri Lanka at 65th; and Pakistan on 73rd spot.
India's improvement in the ranking has been attributed to its REIT framework. The Real Estate Investment Trusts or REITs is an investment vehicle that can be used to attract investment in real estate sectors, thereby relieving the burden on formal banking institutions. The report suggests REIT has attracted greater interest from institutional investors.
"India has seen a steady improvement in the Global Transparency Index over the years. In fact, along with Indonesia, the Philippines and Vietnam, we are among the handful of countries that have seen the maximum improvement owing to positive governmental support and an enhanced ecosystem of transparency," said Ramesh Nair, CEO and Country Head (India) JLL.
Other factors that helped India improve its ranking are Goods and Services Tax, Insolvency and Bankruptcy Code, Benami Transaction Prohibition (Amendment) Act, 2016, and online processing of land records, the JLL report said.
The country ranked among the top improvers are categorised as "highly transparent"; those between 11th to 33rd ranks are termed "transparent"; and those below them are termed as "semi transparent".
The 11th edition of the index covers 99 countries and 163 city regions. All of them were categorised on the basis of transparency, sustainability, health and wellness, among other factors.