 "Prime Minister Narendra Modi")
Union Budget 2024: The upcoming interim Budget on February 1 may witness the announcement of an extension to Prime Minister Narendra Narendra Modi's flagship housing scheme, the Pradhan Mantri Awas Yojna, according to the sources. Additionally, it may also announce an increase in available subsidies for low-cost housing loans by more than 15 per cent to about $12 billion for the new financial year 2024-25 (FY25).
The government estimates reveal a significant housing shortage of over 20 million homes in rural areas. At the same time, the same for urban areas stands at 1.5 million homes, according to industry experts.
Budget 2024: Pradhan Mantri Awas Yojna
Pradhan Mantri Awas Yojna was launched in June 2015 with the objective of "housing for all." The scheme's deadline was set at December 2024, however, after missing this target, the government could now extend the scheme for another three-to-five years, sources said.
As part of the housing scheme, the central government offers an interest-cost subsidy ranging from Rs 1 lakh to Rs 2.67 lakh to households securing bank loans for housing construction. This follows in addition to subsidies from state governments.
So far, the government has spent nearly $29 billion over the last five years under the programme, it said in the Parliament during the winter session held in December.
Also Read: Budget 2024 expectations: What stance will interim Budget 2024 adopt?
Also Read: Budget 2024 expectations: What stance will interim Budget 2024 adopt?
Lok Sabha elections in April-May
Modi, on Monday, boasted that his government has built concrete houses for approximately 40 million impoverished households. "A country's development is only possible when the benefits of government schemes reach everyone. The 10 years of my government have been dedicated to the poor," he said during the 'Pradhan Mantri Janjati Adivasi Nyaya Maha Abhiyan' event on Monday.
The proposal falls in line with 'Sabka Sath, Sabka Vikas' (together with all, development for all), a central electoral focus for the Modi government, as it eyes a record third consecutive win in the upcoming general elections scheduled for April-May.
The officials have proposed to increase the subsidy owing to the rising cost of land and building materials.
(With inputs from agencies)
