Asia’s construction industry offers several investment opportunities for local and foreign entities given the region’s ambitious scope for infrastructure modernization, developing ‘smart cities’, improving logistics and transportation routes, and ensuring affordable housing for all.

Foreign investors also benefit from being able to invest in construction projects without requiring government approval.

Market profile

Asia’s construction industry is rapidly expanding and includes real estate and urban development projects. Real estate includes housing projects, building offices, hotels, leisure parks etc. and urban development projects include highway construction, building schools, transport and healthcare infrastructure, sewage treatment, water supply, power generation etc.

Given the country’s ambition to modernize infrastructure, advance its cities with ‘smart’ development, and boost employment, Asia is expected to become the third largest construction market in the world by 2025.

To facilitate growth, Asia has relaxed foreign investment norms in this industry and in 2020, the real estate sector in India alone received investment worth US$5 billion.

Currently, to invest in Asia’s construction sector, foreign investors are expected to commit to a minimum one year lock-in period before exiting. Allowing the participation of LLP firms could attract greater Foreign Direct Investment.

Please refer to the table below and contact us to arrange a no obligation consultation to discuss things further.