In the past two years, the government sanctioned 37.57 Lakh houses to the Economically Weaker Section under Pradhan Mantri Awas Yojana – Urban.
According to Minister of State for Housing and Urban Development – in the past two years, 37.57 Lakh houses were sanctioned on EWS under three verticals – In-situ’ Slum Redevelopment (ISSR), Beneficiary-led Individual House Construction or Enhancement (BLC), and Affordable Housing in Partnership (AHP). Out of these, 18.50 Lakh houses have been completed and 28.99 Lakh houses have been grounded for construction.
That’s not it, the Minister added that apart from it, under the vertical of PMAY-(Urban)- Credit Linked Subsidy Scheme, 5.81 Lakh Economically Weaker Section beneficiaries have received the benefits of interest subsidy.
The Union Government has taken various initiatives to boost the affordable housing sector, which include enabling cheaper loan to affordable housing, slashing GST rates from eight percent to one percent on under construction affordable housing without increasing Input Tax Credit in priority sector lending for affordable housing project.
Moreover, the Union Government is also offering an additional deduction of 1.5 Lakh and 2 Lakh on home loan interest and affordable housing, respectively. The deduction is in addition to the 100 percent rebate on the profits for affordable housing construction under section 80-IBA of the Income Tax Act till March 31, 2022. The government has also decided on widening the scope of section 80-IBA – 60 to 90 square metres for non-metro cities and 30 to 60 square metres for metro cities.