In order to achieve the set target of Housing for All by deadline 2022, the head of NHB [National Housing Board] had a meeting with all leading developers. The way to boost rural housing was the main agenda that was discussed with all housing finance companies.
The top housing finance companies [HFC] who captured nearly 90% of the market had talks with Dakshita Das, Additional Secretary, Finance. She is also the interim Managing Director and Chief Executive of NHB [National Housing board]. The meeting was held to understand the challenges in rural housing and how demand can be boosted in this segment of the market an official said.
The National Housing Bank [NHB] is owned by RBI [Reserve Bank of India] is responsible to administer the housing finance companies in the country. The board also asked the private players to have a planned approach in order to increase the demand for rural housing units under the PMAY [Pradhan Mantri Awas Yojna] which is also famous as Housing for All by 2022.
PMAY is the ambitious scheme launched by the Narendra Modi-led Central Government with the target to offer affordable housing to all people by 2022. This scheme is planned in two sections which are PMAY (Urban) and PMAY (Rural). The scheme was started in June 2015 with the aim to offer a pucca house for all by 2022.
PMAY also offers subsidy known as the Credit-Linked Subsidy Scheme (CLSS) for Urban, Rural, Economically Weaker Section [EWS], Low Income Group [LIG] and Middle Income Group [MIG]. There are five states including Bihar and Uttar Pradesh where the Housing Finance Companies alias Developers are asked to target 5,000 units to increase home loan penetration in the rural area.
The Central Government allocated Rs. 23 crores under the Pradhan Mantri Aawas Yojna in order to boost the scheme in rural part of India for the promotion of affordable housing. The Government estimates to complete the construction of 10 million homes by 2019.
The Ministry of Rural Development has also launched RHISS i.e. Rural Housing Interest Subsidy Scheme under Housing for All by 2022 with the aim to offer easy access to institutional loans to the required people in order to renovate or construct their residential units under PMAY (U) or PMAY (R). The National Housing Board is the central nodal agency for CLSS of the PMAY (U) and RHISS under the Housing for All by 2022.