In a recent eye-opening report by Colliers, India has taken its place among the top global destinations for cross-border capital investment in land and development sites. This news is not just a blip on the radar; it signals significant interest from international investors. In the 12-month rolling period that wrapped up in the first quarter of 2025, India attracted a remarkable USD 735 million in cross-border capital. This secures its seventh position among the top ten global markets in this segment.
To break it down further, of the USD 735 million, USD 332 million was sourced from global markets while the rest came through regional capital flows. This showcases the diversified interest in India’s land and development sectors. Even though India’s share of total cross-border investment activity is currently at 1.5 percent, slightly on the decline, it outpaces its five-year average of 1.2 percent. This suggests that while there may be a slight dip, the long-term trajectory still looks promising.
What’s noteworthy is how India stands tall against other countries in the Asia-Pacific (APAC) region, where seven out of the top ten nations for cross-border land and development site investments are situated. The report points out that APAC constitutes 80 percent of all cross-border activity, with China leading the charge. The giant has drawn in a staggering USD 38.1 billion, which translates to an eye-popping 79.7 percent of the global total.
While China may hold the lion’s share, India’s positioning within the top ten highlights international investor confidence in its long-term growth potential. Investors are increasingly intrigued by the opportunities present within Indian land and development markets.
Even so, the report indicated that investment volumes across all regions, including India, remained low during Q1 2025. This period marked a continuation at the bottom of the five-year range for investment volumes, despite a noticeable uptick in activity during the latter half of 2024. This points to a complex landscape for investment that requires careful navigation.
In other areas, North America has experienced a slight decline in investment activity. The region appears to be losing its reputation as a global safe haven for investment, a title it has held for quite some time. Meanwhile, Europe, the Middle East, and Africa (EMEA) regions displayed stable investment volumes, but investor focus is starting to shift. There is a growing interest in APAC markets, with many European investors now setting their sights on India. This shift could reshape the investment landscape across the globe.
All these trends paint a picture filled with potential but also demand caution. Despite the current environment of low investment volumes and the competitive nature of global real estate markets, India’s position indeed signals that there are challenges and opportunities ahead.
Navigating this ever-changing market landscape requires keen awareness of both local and global trends. Investors looking at India must also consider factors such as regulatory environments, market dynamics, and overall economic health, as these can significantly impact investment success.
In conclusion, India’s emerging stature as a prime global investment destination for land and development underscores its resilience and attractiveness. As the country continues to evolve within the global investment framework, stakeholders must remain vigilant yet optimistic. Global economic conditions may be fluctuating, but the allure of India as a destination for cross-border investment remains strong, positioning it as a vital player in the ongoing narrative of international investment dynamics.