West Bengal Finance Minister Swapan Dasgupta has confirmed that the state government intends to remove the 1976 Urban Land Ceiling Act, describing it as an impediment to development. Speaking at the 24th CREDAI NATCON event in Kolkata, Dasgupta said some laws dating back to the 1970s continued to hold back development even though they had been scrapped elsewhere in the country. "One of them is something called the urban land ceiling. It is an impediment and a deterrent to development. It has to go," Dasgupta stated. The comments go beyond the state government's announcement in its June 2026 budget that it would "re-examine" the Urban Land Ceiling Act to unlock developable land, attract investment and support economic growth.
The finance minister highlighted significant development challenges while outlining substantial opportunities for the real estate sector. Dasgupta noted that there had been no noticeable development from a real estate perspective in West Bengal for the past 15 years, or even longer, particularly in the middle-class housing segment. He emphasized that "the quality of old housing needs lots of improvement and upgradation" and described this as a "huge opportunity for the real estate sector" in the state. The state government has separately been examining land-law changes to enable industries to hold and utilise larger parcels, with the government looking for organised players to participate in what he described as a "wider process of modernisation."
Dasgupta made a comprehensive pitch to the real estate industry, inviting large developers to undertake mega projects while promising government support. Speaking on the sidelines of the event, he said there had been no noticeable development from a real estate perspective in West Bengal for the past 15 years, particularly in the middle-class housing segment. "People like you (real estate developers) are needed. I welcome all proposals, big developers who will build the big mega projects, which we have in mind. You are needed. We will create the conditions wherever you can operate with responsibility," Dasgupta stated. He emphasized that the government would work to create conditions in which developers could operate, while expecting them to "bring technology, generate returns and contribute to society."
Boman Irani, Chairman of CREDAI, noted that the first NATCON in India was taking place in Kolkata, highlighting West Bengal's importance in India's connectivity to eastern markets. As reported by ANI, Shekhar G Patel, President of CREDAI, emphasized that Kolkata's economic depth and position as a gateway to eastern India can play an important role in India's urban growth transition. The industry leaders expressed readiness to share learnings from across the country to support West Bengal's development vision, with the real estate sector positioned to play a central role in bringing capital, technology and organised development into the state. CREDAI Chairman Boman Irani highlighted the increasing use of artificial intelligence in the real estate sector as a key development trend.
