Towards addressing the housing needs of the people of India, the Union Cabinet on Monday announced its first major policy decision post the swearing-in of Prime Minister Narendra Modi for his third term. The government has decided to provide assistance to construct 3 crore rural and urban houses under its flagship scheme Pradhan Mantri Awas Yojana (PMAY). Real estate experts laud this decision of the Centre which is aimed at boosting the “Housing for All”. The initiative is expected to help revive the affordable housing segment for people across the country.
Taking to his social media handle on X, PM Modi said that the government’s decision is reflective of its commitment to addressing the housing needs of India and thereby ensuring that every citizen leads a better quality of life.
"A boost for ‘Ease of Living’ and dignity for crores of Indians. This decision underscores the government's commitment to addressing the housing needs of our nation and ensuring that every citizen leads a better quality of life. The expansion of PMAY also highlights our government's commitment to inclusive growth and social welfare." the Prime Minister said in his post.
“This decision reinforces the government's commitment to "housing for all". We expect that the new scheme will feature a higher eligible carpet area compared to the earlier Credit Linked Subsidy Scheme (CLSS) for the urban poor under the Pradhan Mantri Awas Yojana-Urban (PMAY-U). This enhancement addresses a critical and much-needed change in the scheme,” says Pradeep Aggarwal, Founder and Chairman, of Signature Global (India) Ltd.
The Centre introduced the Pradhan Mantri Awas Yojana in 2015-16 to assist eligible rural and urban households with the construction of houses that included basic amenities. Under PMAY, a total of 4.21 Crore houses have been constructed so far in the last 10 years, the government data states.
Houses built under PMAY are enabled with basic amenities such as toilets, LPG connection, electricity supply/connection, tap connection, etc. through convergence with other Central and State government schemes.
“By increasing the carpet area eligibility under PMAY, Centre will be able to address the critical issues faced by potential homebuyers in affordable and mid-housing segment brackets. This move is expected to create more opportunities for home ownership among urban and rural people, ensuring broader access to housing and fostering socio-economic stability,” Aggarwal states.
He further says “The new scheme promises to make a substantial impact on the housing sector, encouraging more developers to reconsider the affordable housing projects and ultimately enhancing the overall housing supply in the country.”
