An investment of Rs 5000 crore is needed over next three years to build new housing stocks to overcome the shortage of houses in Orissa's urban areas.
This was stated by chief minister Naveen Patnaik while inaugurating a seminar on "opportunities, challenges and solution to urban housing in Orissa" here today.
The seminar was organized by the Express Publication (Madurai) in association with Housing Development Finance Corporation and Hudco.
Patnaik said, the deficit in dwelling units in the state is estimated at one million. Of this three lakh houses need to be built in urban areas and seven lakh in rural areas. Stating that the requirement of funds to build new houses and provide infrastructural facilities there is huge, Patnaik said, this cannot be met from public exchequer alone and there is need for massive private participation for development of the sector.
He said, one of the main bottlenecks facing the housing finance sector is the non-availability of long-term capital investment. Traditionally, the funds for housing sector have come from the individuals by way of their savings or from the financial institutions which are not adequate.
In this backdrop, Patnaik said, government should play a significant role in making available long-term resources. In countries like Korea, Philippines, Singapore and Thailand etc the government has been making available substantial funds for housing at subsidized rate.
Of the 367 lakh population of the state, 54 lakh live in urban centres. Low urbanization of the state is the cause and effect of relative underdevelopment of the state, Patnaik said, adding, the substantive migration of people from rural to urban areas in search of job, education etc has triggered the demand for new infrastructural facilities and massive housing.
He said, rationalization of various laws and regulations for the housing sector and simplification of municipal laws for supply of infrastructure services and provision of housing are expected to enhance the performance of the sector.
He also informed about various steps taken by the state government with regard to repealing of urban land ceiling act, reduction of stamp duty and abolition of rent control act.
Speaking on the occasion, PK Hota, additional secretary, urban development department, government of India, said, of late, various international agencies have identified urban development as the pre-requisite for overall growth of the country. He stressed on more public-private partnership for balanced growth of the sector.
Among others, state urban development minister Samir Dey and housing minister Ranendra Pratap Swain spoke on the occasion.
