Cabinet clears 3 crore additional houses under PM housing scheme

• Centre recently gave its nod for three crore additional houses under the Pradhan Mantri Awaas Yojana (PMAY).

Highlights:

• Of the 3 crore houses, two crore will be constructed under the Pradhan Mantri Awaas Yojana-Gramin (PMAY-G) and one crore under the PMAY-Urban.
• The Union Cabinet approved the proposal of the Department of Rural Development for implementation of PMAY-G during FY 2024-25 to 2028-29 wherein financial assistance is to be provided for the construction of two crore more houses at existing unit assistance of Rs 1.20 lakh in plain areas and Rs 1.30 lakh in northeastern region states and hill states of Himachal Pradesh, Uttarakhand, Union Territories of Jammu and Kashmir and Ladakh.
• The Centre had launched the PMAY-G from April 2016 with an aim to construct 2.95 crore houses by March 2024.
• Continuation of the Pradhan Mantri Awaas Yojana–Gramin for saturating the Awaas+ (2018) list (after updation) and balance eligible households in Socio Economic Caste Census (SECC) 2011 Permanent Wait List (PWL) by providing assistance within overall ceiling of 2 crore pucca houses with basic amenities from April, 2024 to March, 2029
• Continuation of the scheme beyond March, 2026 after evaluation of the PMAY-G by the NITI Aayog and re-appraisal of the scheme by EFC.
• Updating Awaas+ list for identifying eligible rural households using modified exclusion criteria.
• The remaining 35 lakh incomplete houses till March 2024 would be completed to achieve the cumulative target of 2.95 crore houses of the previous phase.
• Now, two crore more houses will be constructed under the PMAY-G during next five years from FY 2024-2029 to address housing need arisen over the years.
• Construction of houses for two crore more households is expected to benefit nearly 10 crore individuals.
• The PMAY-Urban 2.0 scheme aims to construct 1 crore new homes through four verticals beneficiary-led construction, in which financial assistance would be provided to EWS families to build homes on their own land; affordable housing in partnership
• This will give aid to EWS families buy houses constructed by states or private agencies; affordable rental housing, in which rental housing units for industrial workers and working women hostels will be made; and interest subsidy scheme, in which EWS, LIG and MIG families taking loans of up to Rs 25 lakh will get 4% interest subsidy.
• Central assistance of up to Rs 1.80 lakh would be provided in five yearly installments to each beneficiary under the interest subsidy scheme.

Prelims Takeaway

• PMAY-Urban 2.0