Pakistan’s Real Estate Sector Attracting FDI

Pakistan’s Real Estate Sector Attracting FDI

Pakistan’s real estate market has been in a slump since last year, mostly because of the new tax regimes introduced by the government. The situation was worsened by political instability that ensued after dismissal of Prime Minister and is likely to continue until the next elections. Investors are being cautious until things become clearer.

However, real estate has always been the economy’s strongest sector, and is known to bounce back after every shock. Whenever the bubble bursts, the market finds its equilibrium due to presence of high demand and an overall shortage of housing units.  Even now, despite the bleak circumstances there is hope on the horizon. 

The ongoing development of CPEC is proving to be very healthy for the real estate sector of Pakistan: it’s attracting a huge chunk of international real estate investors. Roadshows and Expos for investment opportunities in Gwadar and other areas are being hosted throughout the world.

A recent event in this regard is the real estate expo is held in Sharjah on 8th and 9th of December known as Real Estate and Investment Pakistan Expo (RIPE). This expo aimed to bring together the top developers, builders, and international investors under one roof. According to the Chief Coordinator of RIPE, Pakistan’s Real Estate sector is grabbing the attention of investors particularly from the Gulf, Brunei and ASEAN region. 

Pakistan’s real estate market has been in a slump since last year, mostly because of the new tax regimes introduced by the government. The situation was worsened by political instability that ensued after dismissal of Prime Minister and is likely to continue until the next elections. Investors are being cautious until things become clearer.

However, real estate has always been the economy’s strongest sector, and is known to bounce back after every shock. Whenever the bubble bursts, the market finds its equilibrium due to presence of high demand and an overall shortage of housing units.  Even now, despite the bleak circumstances there is hope on the horizon. 

The ongoing development of CPEC is proving to be very healthy for the real estate sector of Pakistan: it’s attracting a huge chunk of international real estate investors. Roadshows and Expos for investment opportunities in Gwadar and other areas are being hosted throughout the world. A recent event in this regard is the real estate expo being held in Sharjah on 8th and 9th of December known as Real Estate and Investment Pakistan Expo (RIPE). This expo aims to bring together the top developers, builders, and international investors under one roof. According to the Chief Coordinator of RIPE, Pakistan’s Real Estate sector is grabbing the attention of investors particularly from the Gulf, Brunei and ASEAN region. 

Apart from these, the large-scale construction projects taken up by Chinese companies in Gwadar are gaining popularity among Pakistan’s expatriate community in UK. These expats are always looking for good projects to invest in their home country, in anticipation of a time when they might return and settle here. Upscale projects like China-Pak Hills Gwadar seem like the perfect opportunity. The project is targeted towards the influx of Chinese people who will come to Pakistan as a result of CPEC, and is being constructed by Top International Engineering Corporation; a Chinese construction company.

Moreover, the imminent economic growth is also attracting entrepreneurs from neighboring China. Recently a delegation of Chinese entrepreneurs, consisting of professionals from multiple fields like high rise construction, tourism, IT, mechanical manufacturing etc. visited the Islamabad Chamber of Commerce & Industry. They found strong potential in the market due to its expanding consumer base complemented by a very strategic location. Furthermore, they exhibited interest in investing in Pakistan’s Real Estate market and contributing its expertise in high rise buildings and technological sector. This will give a much-needed boost to the real estate sector making it stronger and more diversified.

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Moreover, the imminent economic growth is also attracting entrepreneurs from neighboring China. Recently a delegation of Chinese entrepreneurs, consisting of professionals from multiple fields like high rise construction, tourism, IT, mechanical manufacturing etc. visited the Islamabad Chamber of Commerce & Industry. They found strong potential in the market due to its expanding consumer base complemented by a very strategic location. Furthermore, they exhibited interest in investing in Pakistan’s Real Estate market and contributing its expertise in high rise buildings and technological sector. This will give a much-needed boost to the real estate sector making it stronger and more diversified.