PM Modi unveils urban housing loan relief scheme

17 Aug 2023 CW Team

Prime Minister Narendra Modi announced plans for a scheme to alleviate interest on bank loans for urban dwellers aspiring to own a house. Speaking on the 77th Independence Day, Modi revealed the forthcoming scheme, targeting middle-class families in cities without homes.

Modi acknowledged the struggles of city-dwellers without housing, emphasizing the difficulties faced by the poor.

"We're introducing a scheme to provide relief in bank loan interest, offering substantial financial aid to families residing in rented accommodations, unauthorized colonies, and slums within cities. This will enable them to construct their own houses," stated Modi from the Red Fort.

The existing housing scheme, Pradhan Mantri Awas Yojana Urban (PMAY-U), aims to support the urban poor by providing proper housing with essential facilities. Launched on June 25, 2015, the initiative has sanctioned 11.8. Million houses as of July 31, 2023, with 7.6 million units already completed or handed over to beneficiaries.

PMAY-U operates through four pathways—beneficiary-led construction, affordable housing in partnership, in-situ slum redevelopment, and credit-linked subsidy scheme—based on eligibility criteria. The scheme's deadline was extended to December 31, 2024, for completing sanctioned houses without altering funding patterns and implementation methods, except for the credit-linked subsidy scheme vertical.

The Central government contributes Rs 0.1 million for in-situ slum redevelopment and Rs 0.15 million for affordable housing in partnership and beneficiary-led construction. The credit-linked subsidy scheme provides an interest subsidy of 6.5%, amounting to Rs 0. 267 million per house, for economically weaker sections and low-income groups.

Resources

04 Jun 2026

ULCCS Showcases Cooperative Model at UN Symposium

Uralungal Labour Contract Co-operative Society (ULCCS) showcased its community-led development model at the United Nations Headquarters in New York, where it participated as a panellist at the International Symposium on Cooperative Financial Institutions held on 28–29 May 2026.Jointly organised by the United Nations Department of Economic and Social Affairs (UN DESA), the International Cooperative Banking Association (ICBA), and the International Cooperative Alliance (ICA), the symposium was held under the theme ‘Fuelling Inclusive and Equitable Growth’ and brought together policymakers,..

Delhi Airport to Finalise 20-Year Master Plan

Delhi International Airport Ltd (DIAL) is finalising a 20-year master plan to guide long term infrastructure and operational development at Indira Gandhi International Airport, an official said. The operator expects the plan to reflect changes in the airline industry, shifts in the competitive landscape and evolving infrastructure requirements across terminals, airside and support services. The official said the document is likely to be ready in the next two to two-and-a-half months as the operator moves through planning stages. The plan will be prepared after consultations with airport users ..

Aadhar Housing Finance Targets Rs 500 bn AUM By FY29

Aadhar Housing Finance has set a target to raise its asset under management to Rs 500 billion (bn) by the end of FY29, aiming to achieve this over the next three financial years through an 18-20 per cent loan growth trajectory. The firm focuses on the low-income segment with a ticket size of less than Rs 1.5 million (mn) and has relied on that segment to drive expansion. The company closed FY26 with an AUM of Rs 305.71 bn, reflecting the expansion in recent years, and it reported a net profit rise of 22 per cent to Rs 11.08 bn. Management indicated that gross non-performing assets stood at 1.0..