Low-Cost Housing Likely to Be Tagged Under Infrastructure
If there was anything one could take away from BJP’s election manifesto, it was low-cost housing, thanks to the several mentions in the document. It has now become known that the government may likely grant low-cost housing the status of infrastructure to ensure increased development.
An infrastructure status would enable real estate developers to avail finance from banks and for longer tenures. This would eventually cause a rise in the supply of houses. While developers welcome this idea, they’d rather have the whole housing sector tagged under infrastructure.
The government defines low-cost houses as those that are less than 40 sq. m. in area. BJP has plans of launching a massive low-cost housing programme, aimed at enabling every family in India to have a pucca house by the time the nation completes 75 years of independence. This programme is set to have schemes that will not touch upon many of the existing schemes, but will also encourage shifts in policy in order to benefit the housing sector.
A recent report by the National Housing Bank revealed that, of the 18.78 million residential units of shortage in the sector, 95% of it lies in the low-income group and the economically weaker section.
Minister for Urban Development, Housing and Urban Poverty Alleviation, Venkaiah Nadu is likely to arrive at a decision soon.
Source: The Economic Times
BJP, BJP’s election manifesto, Low-cost housing, low-cost housing programme, National Housing Bank
