Reserve bank all set to launch House Start Index

(posted under - RBI news, RBI of India)- The Reserve Bank of India (RBI) will soon launch a house start index, which will help gauge activity in the construction sector that employs a significant chunk of the country’s labour force.

The index is expected to give an indication of the level of activity in the construction sector, which in turn will help the central bank gauge the state of the real estate sector. Housing activity is considered as amongst the important lead indicators of economic activity, given its strong and substantial forward and backward linkages with other sectors of the economy.