Government Estimates Real Estate Sector Contribution to GDP Above 8%

Kathmandu. The government has estimated that the contribution of the real estate transaction sector to the Gross Domestic Product (GDP) will be above 8% in the current fiscal year. This estimate is made in the economic survey of the current fiscal year 2082/83, released by Finance Minister Dr. Swarnim Wagle on Wednesday. According to the survey, the share of this sector in the overall economy appears significant.

The value addition of the real estate transaction service sector is estimated to increase by 2.69% in the current fiscal year. In the last fiscal year, the total value addition of this sector had increased by 2.77%. Although there has been a slight decrease in the growth rate compared to last year, the overall situation is positive. 

The increase in the value addition of this sector is attributed to the slight increase seen in real estate transactions, as well as the significant increase in private housing and rental activities. 

8.07% Contribution to GDP

The contribution of the real estate transaction sector to the Gross Domestic Product (GDP) of the current fiscal year is estimated to be 8.07%. As the size of the overall economy grows, the percentage contribution of this sector has decreased by a small margin compared to last year. In the last fiscal year, the contribution of this sector to GDP was 8.19%.

The survey mentions that the real estate sector has maintained a strong and stable presence in Nepal's economy over the last decade. The average annual contribution of this sector to GDP during the last 10 years has been 8.63%. The average annual growth rate of the real estate transaction sector during this period has been 2.65%.