India Among Top APAC Markets For Cross-Border Investments, Inflation Eases: Colliers

India has retained its 4th position in the top 10 APAC (Asia-Pacific) countries for cross-border investment. China kept the top position in the APAC region in H1 2025 with a total inflow of $41,158 million,

followed by Australia ($1,022 million), and Singapore ($981 million). India saw a total cross-border inflow of $808 million in H1 2025 for land and development sites, marking a slight drop of 1.6 per cent, according to Colliers’ latest research report – ‘Investment Insights H1 2025’.

Real estate investments across the nine APAC markets – Australia, Mainland China, Hong Kong, India, Japan, Singapore, South Korea, New Zealand and Taiwan, reached USD 71.9 billion in H1 2025, marking a modest 6% YoY decline amid ongoing trade volatilities and global headwinds, the report added.

“India continues to stand out as a promising country within Asia Pacific’s real estate investment landscape. Foreign investments remained strong at USD 1.6 billion and accounted for around 52% of the institutional investments in India during H1 2025. Interestingly, APAC investors accounted for over one-third of the foreign inflows into the country in the first half of the year, reiterating India’s strategic importance in cross-border capital flows. With strong demand for high quality spaces, overhauling & simplification of GST regulations and anticipation of elevated consumption levels in the upcoming festive season, institutional investors are confident about their India exposure. Real estate investments in 2025 are likely to end on a high note, with core assets like residential and office continuing to demonstrate high traction,” said Badal Yagnik, Chief Executive Officer, Colliers India.

Of the total investments of USD 71.9 billion across the nine APAC markets, office assets remained the most sought-after, accounting for 36% of total investment volumes in H1 2025, with South Korea and Japan leading the charge.

There has been a knock-on impact in terms of cuts to GDP forecasts for 2025, with the biggest negative impacts felt in APAC and the Americas, the report added. India and China’s forecasts remain strong, with no impact yet visible. Hong Kong and Spain have seen forecast growth rates improve since year-end.

India’s inflation is easing mainly due to easing of supply side constraints, timely monetary policy interventions, and lower base effect, keeping growth outlook intact, it added.

Globally, multifamily real estate remains the most active sector, but in APAC — and particularly India — office and land-led development dominate.