New Delhi: The issues of big ticket economic reforms initiated by Prime Minister Manmohan Singh government to shed off the tag of policy paralysis is now taking backseat with the cropping up of alleged corruption against Robert Vadra, Nitin Gadkari and Sharad Pawar. It is intriguing to see that people are more interested to know the means taken by these high-profile people to acquire land. These issues dominated the Foreign Direct Investment (FDI), telecom spectrum and coal block allocation.

On Saturday evening while crossing through a car parking area, I heard few drivers talking on the land acquisition issue. They seem to be well versed on the issue. They were wondering on the exorbitant increase in the land prices in their vicinity and were disappointed on cracking an alleged land deal between reality major DLF and Vadra in the recent past.

It looks apparent that, people may face difficulty in understanding the issue related to spectrum licenses and coal block allocations but they can easily digest the nuances of a land deal. Actually, property prices zooming up to the exorbitant levels affected the common man’s income, savings and investments. A person who owns a property will need that property for whole life, whereas it will be important for those who want to buy property right now. The feeling of financial security is very much related to whether having a property or not.


In our country, the property prices are means to transfer the money in large scale. The money transfers from the pockets of needy property buyers to that of land owners. It is for the same reason that people are more sensitive to land scams because it directly affects common man’s savings. With the series of land scams unearthing, people are now forced to think over why they need to shell out such a big amount for getting a shelter. With the volatile property prices, they have now figured out that it is blackmoney which is flowing in to acquire the land and corrupt people are using unfair means to acquire lands which is skyrocketing the property prices.

It is a matter of worry that the same apartment which used to cost around Rs 25 Lakh is now worth more than Rs 1 crore. Hence, the EMIs have also gone up to more than Rs 1 Lakh for the property of over Rs 1 crore which means that for the same property for which the buyers needed to pay Rs 40 lakh will now have to pay around Rs 2 crore.


For a financial analyst like me who is always in favour of long term investments and suggest continuous investment into Systematic Investment Plans (SIP) can actually make out that the people who have already bought a property will be living better life in comparison to the ones who will be buying properties worth Rs 2 crores. Hence, the issues of buying a property now scores over spending a good marital life or giving good education to the children.   

In the midst of issues of corruption, it is comparatively easy for a common man to understand the relation of their income and savings but they does not seem to get affected by high bidding price offered by big companies for telecom spectrum.    

Fund ka Funda/Dhirendra Kumar

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