Housing ministry seeks four-fold hike in outlay for key schemes

By: |
New Delhi | Updated: Jan 19, 2018 10:28 PM

The ministry of housing and urban affairs has sought a four-fold increase in outlay for its three key schemes — Pradhan Mantri Awas Yojana (Urban), Smart City Mission and Swatch Bharat Mission — in the Union Budget 2018-19.

Pradhan Mantri Awas Yojana, smart city mission, housing ministry expectation from budget, housing scheme provision under budgetThe ministry has sought Rs 20,000 crore for PMAY (U) in 2018-19 against the total allocation of Rs 6,000 crore in 2017-18, the official added.

The ministry of housing and urban affairs has sought a four-fold increase in outlay for its three key schemes — Pradhan Mantri Awas Yojana (Urban), Smart City Mission and Swatch Bharat Mission — in the Union Budget 2018-19. “These schemes are time-bound and we have a deadline for each mission. For each scheme, we have therefore sought four times the amount allocated in the last Budget,” an official said. The ministry has sought Rs 20,000 crore for PMAY (U) in 2018-19 against the total allocation of Rs 6,000 crore in 2017-18, the official added. Out of the approved total central assistance of Rs 57,669 crore so far, Rs 12,916 crore has already been released to states/UTs. Interest subsidy of Rs 1,646 crore on housing loans has been credited directly to 81,597 beneficiaries under the Credit Linked Subsidy Scheme (CLSS). So far, 37.5 lakh houses have been approved for funding under the mission. A number of 17.32 lakh houses have been grounded, of which construction of 4.68 lakh houses has been completed since the launch of the mission in 2015. PMAY/Housing for All — Urban is a mission to provide housing for all by 2022 and is being implemented since 2015. Under the PMAY (U), there are four verticals. The first is beneficiary-led constructions where the central assistance of Rs 1.5 lakh is available to individual eligible EWS families.

The second is affordable housing in partnership (AHP) with the public or the private where central assistance of Rs 1.5 lakh per EWS house is provided by the government. The third scheme is slum redevelopment where there is slum that can be redeveloped and the land can be monetised, the government gives a grant of Rs 1 lakh per dwelling unit. The forth scheme is CLSS. For the Smart City Mission, the ministry has sought Rs 16,000 crore for 2018-19 against the allocation of Rs 4,000 crore in 2017-18, the official said.

Ninety cities have so far been selected by the government under the Smart City Mission and each of them will get Rs 500 crore as central assistance for implementing various projects. The cities are required to set up a special purpose vehicle (SPV) to get funds from the Centre for the implementation of the project.

Under the mission, 2,864 projects worth Rs 1.35 lakh crore are in various stages of implementation. 148 projects worth Rs 1,872 crore have been completed; work is underway for 407 projects with a cost of Rs 15,600 crore. The ministry has also sought around Rs 9,000 crore for Swatch Bharat Mission, up from Rs 2,300 crore in 2017-18, the official added.

Do you know What is Finance Bill, Short Term Capital Gains Tax, Fiscal Policy in India, Section 80C of Income Tax Act 1961, Expenditure Budget? FE Knowledge Desk explains each of these and more in detail at Financial Express Explained. Also get Live BSE/NSE Stock Prices, latest NAV of Mutual Funds, Best equity funds, Top Gainers, Top Losers on Financial Express. Don’t forget to try our free Income Tax Calculator tool.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.