Parliament Question: Subsidy to Beneficiaries of Pradhan Mantri Awas Yojana

Executive Summary: The Ministry of Housing and Urban Affairs (MoHUA) has been implementing the Pradhan Mantri Awas Yojana Urban (PMAYU) since June 25, 2015, to provide pucca houses with basic amenities to eligible urban beneficiaries. The scheme initially included the Credit Linked Subsidy Scheme (CLSS), which ended for different categories in March 2021 and March 2022. PMAYU 2.0 was launched on September 1, 2024, to provide affordable housing to an additional 1 crore beneficiaries over the next five years, which includes the Interest Subsidy Scheme (ISS). Key Points / Main Content: PMAYU Implementation and Verticals: * PMAYU aims to provide all-weather pucca houses with basic civic amenities to eligible urban beneficiaries. * The scheme is implemented through four verticals: Beneficiary Led Construction (BLC), Affordable Housing in Partnership (AHP), In-Situ Slum Redevelopment (ISSR), and Credit Linked Subsidy Scheme (CLSS). * PMAYU 2.0, launched on September 1, 2024, includes the Interest Subsidy Scheme (ISS) and aims to provide affordable housing to 1 crore additional beneficiaries in the next five years through Beneficiary Led Construction (BLC), Affordable Housing in Partnership (AHP), Affordable Rental Housing (ARH) and Interest Subsidy Scheme (ISS). CLSS Details (Original Scheme): * An interest subsidy of up to 2.67 lakh per house was provided under CLSS for Economically Weaker Sections (EWS), Low Income Group (LIG), and Middle Income Group (MIG) categories. * CLSS for MIG ended on March 31, 2021, and CLSS for EWS/LIG ended on March 31, 2022. * The scheme was implemented through Central Nodal Agencies like National Housing Bank (NHB), State Bank of India (SBI), and Housing and Urban Development Corporation Ltd. (HUDCO). * A total of ₹58,885 crore of interest subsidy was provided to 25,04,220 beneficiaries. ISS Details (PMAYU 2.0): * Under the Interest Subsidy Scheme (ISS), a maximum interest subsidy of ₹1.80 lakh is provided to eligible beneficiaries with income up to ₹9 lakh. * Home loan value up to ₹25 lakh for property value up to ₹35 lakh with carpet area up to 120 sqm is eligible for a subsidy at 4.0% on first ₹8 lakh for a tenure up to 12 years. * The subsidy is released in 5 yearly installments in loan accounts of beneficiary provided loan is active at the time of release of subsidy and more than 50% principal is outstanding. * Prospective beneficiaries can apply through the unified web portal: https://pmayurban.gov.in. Impact Analysis: Beneficiaries (EWS, LIG, MIG): Impact: Eligible individuals and families receive subsidies on home loans, making housing more affordable. Action Required: Apply for the subsidy through banks and housing finance companies and ensure all eligibility criteria are met; prospective beneficiaries of PMAYU 2.0 should apply on the unified web portal. Banks and Housing Finance Companies (HFCs): Impact: Serve as intermediaries for processing subsidy applications and disbursing funds. Action Required: Conduct due diligence on applications, release interest subsidies to eligible beneficiaries, and implement the guidelines of the PMAYU and PMAYU 2.0 schemes. Central Nodal Agencies (NHB, SBI, HUDCO): Impact: Play a central role in implementing and monitoring the CLSS vertical. Action Required: Continue to support the scheme, ensure compliance, and facilitate the disbursement of subsidies. Ministry of Housing and Urban Affairs (MoHUA): Impact: Responsible for the overall implementation and monitoring of the PMAYU scheme and its subsequent iterations. Action Required: Oversee the scheme's implementation, make necessary adjustments, and ensure the scheme's objectives are met, including the targets set for PMAYU 2.0.

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