Steep climb ahead to achieve the target of Housing for All by 2022: ICRA

Steep climb ahead to achieve the target of Housing for All by 2022: ICRA

In 2015, the Pradhan Mantri Ahwas Yojna (PMAY), was launched by the Government of India. The target of building 50 million housing units in 2022. 30 million of these units are being proposed. Built-in rural areas (through the PMAY Rural) and in urban areas (20 million through the PMAY Urban). The actual implementation is not up to the targets, and it would need a lot of push. Moving forward. The Government set a lower near-term goal of 21.4 millions under PMAYR, and 11.2million units under PMAYU by 2022.

Mr. Kapil Banga is Assistant Vice-President, Sector Head, ICRA. "With 1.5 years left, against the revised Targets of 19.55 million homes have been approved and 14.16 millions have been completed by PMAY-Rural till April 2021 will see the completion of 67% and 72% respectively of the revised targets. Additionally, 9 percent of the So far, no houses have been approved. The PMAY-U has a revised target of 11.2 millions units. Nearly 11.2 million housing units have been approved and approximately 4.8 million homes have been built. Only 43% of the short-term target was met, as well as units sanctioned under the PMAYU. This is how it works: Both the PMAY–U and PMAY–R will require significant acceleration in their implementation. Housing for All by 2022.

Covid-19 is likely to impact the performance in FY2022. The funding allocation The Union Budget's PMAY-U has been reduced by Rs. 8,099 crore in FY2022, against a revised Estimate (RE) for Rs. Estimate (RE) of Rs. 21,000 crore for FY2021, and it has remained stagnant compared to the budget Estimate (BE): Rs. 8,000 for FY2021. The Union Budget allocation to the PMAY-R has remained at Rs. 21,000 crore FY2022, which is the same amount as FY2022's revised estimate (RE), and budget estimate (BE). However The extra-budgetary resources (EBR), for PMAY-R, have been increased to Rs. 10,000 crore to Rs. 10,000 crore to Rs. BE of FY2022 against Rs. 10,000 crore in FY2021. The EBR for PMAYU FY2022 is null, while Rs. In 2018, there were 10,000 crore BE in FY2021.

The Government has so far allocated/committed Rs. 2.72 lakh crore, and incurred Rs. 2.72 lakh crore and incurred Rs. The total requirement for Rs. 2.88 lakh crore1 For the revised PMAY-R targets, leave pending Engagement/allocation of Rs. 16,000 crore, pending expenditure Rs. 86,000 crore. It has also been characterized as: Allocate/commit Rs. 1.81 lakh crore, and has only incurred Rs. 1.81 lakh crore and has incurred only Rs. Requirement of Rs. 1.81 lakh crore to meet the revised targets under PMAY-U.

"In aggregate, the Rs. 4.70 lakh crore, Rs. In the past five years, 2.97 lakh crore was spent It took years, but it cost Rs. 1.71 lakh crores (37%) would be required to be spent within the next To meet the short-term scaled-down target, it will take 1.5 years to finish the construction of the remaining units. But, the FY2020 consolidated PMAY expenditure was Rs. 25,000 crore, while the RE for FY2021 stood at Rs. The FY2022 budget allocation is Rs. 40,500 crore. The gap is Rs. 47,500 crore, which includes budgeted EBR. The gap of Rs. 47,500 crore (including budgeted EBR) must be filled in the next 1.5 years to reach the near-term goal," Mr Banga said.

The Cabinet had approved Rs. The National Urban Fund, a dedicated affordable housing fund of Rs. 60,000 crore - Housing Fund - In 2018, a substantial portion of the Housing Fund was set up to support the implementation of the PMAY program. Already used, requiring more allocation. Without a significant increase in budgetary resources Allocation, execution, and dependence on additional budgetary resources could all continue to lag. Nonetheless, they remain high. To meet the financial obligations, it is crucial to be able to provide the EBR required to fill the gap. Spending and, consequently, the physical completion targets within this timeline. It remains to be determined what the future holds. Additional avenues will be available to the Government to raise additional financing in order to speed up the implementation. scheme