Global realty transparency index -2018

In news: Jones Lang LaSalle Inc. (JLL) has released the Global Real Estate Transparency Index 2018.

 

About the index:

The 2018 Global Real Estate Transparency Index covers 100 markets and is based on 186 indicators.

These variables are divided into six areas –performance measurement, market fundamentals, governance of listed vehicles, regulatory & legal frameworks, transaction process and environmental sustainability.

The Index scores markets on a scale of 1 to 5 (with 1.00 being the highest possible score). Depending on their overall performance, markets are assigned to one of five transparency tiers.

• Highly Transparent.
• Semi-Transparent.
• Low Transparency.

 

Performance of various countries:

• India has moved up just one spot from 36 in 2016 to 35 in 2018.
• The UK, Australia, the US, France and Canada are the top five countries.
• Sri Lanka is at the 66th position and Pakistan at 75th among south Asian countries. Venezuela is the least transparent market with 100th rank.
• Among BRICS nations, both China and South Africa remained on the same rank 33rd and 21st position, respectively, while, Brazil slipped to 37th position and Russia remained at 38th rank.

 

Way forward for India:

India is one of the 10 countries that have registered maximum improvement in transparency in real estate over the last two years. Since 2014, India has moved up by five spots from 40th in the global real estate transparency index.

• However, India has moved up just one spot despite the implementation of the Real Estate (Regulation And Development) Act or RERA. RERA was implemented in May 2016 to bring accountability and transparency into the sector. However, unlike a few states such as Maharashtra and Karnataka, several states have been slow in its implementation.
• India is thus yet to figure among the transparent markets, despite the regulatory changes and the possibility of a Real Estate Investment Trust (REIT) listing.

Source -The Hindu ।