In line with the Modi government’s promise to provide ‘Housing for All’ by 2022, the Cabinet on Wednesday approved per unit assistance for construction of pucca homes in rural areas to ₹1,20,000 in the plains and ₹1,30,000 in hilly areas. It also set a target to build one crore pucca houses in rural India in three years.

The expenditure involved in implementing the Pradhan Mantri Awaas Yojana (PMAY)-Gramin from 2016-17 to 2018-19 is ₹81,975 crore, said an official release, adding that it would be implemented in rural areas across India, except Delhi and Chandigarh.

The cost of the houses would be shared between Centre and States in the ratio 60:40 in plain areas and 90:10 for North Eastern and hilly States, it added.

Funds for the scheme will be transferred electronically directly to the account of beneficiaries, who will be identified on the basis of the Socio-Economic Caste Census-2011 data.

“The list will be presented to Gram Sabha to identify beneficiaries who have been assisted before or who have become ineligible due to other reasons. The finalised list will be published,” the release said, adding that “inspection and uploading of geo-referenced photographs (of beneficiaries) will be done though a mobile App.”

The unit size has also been raised from the existing 20 sq.m to up to 25 sq.m, with a dedicated area for hygienic cooking.

The assistance is much higher than under the erstwhile UPA regime’s Indira Awas Yojana (IAY), under which ₹70,000 per unit for plain areas and ₹75,000 for hilly and difficult areas was granted. So far, 351 lakh houses have been constructed under IAY, at an expenditure of ₹1,05,815.80 crore.

For PMAY, the additional financial requirement of ₹21,975 crore will be met by borrowing through National Bank for Agriculture and Rural Development, to be amortised through budgetary allocations after 2022. In addition, the beneficiary can avail himself of loan of up to ₹70,000 for construction, which is optional, the release said.

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