Having achieved only 55% of its target, the Centre has extended its deadline to provide pucca houses to all families in rural India by two years, to 2024.
In a decision taken by the Cabinet on Wednesday, the flagship rural housing scheme, Pradhan Mantri Awas Yojana-Gramin, will be provided ₹2.17 lakh crore in additional Central and State funding to achieve its target of building 2.95 crore houses.
The scheme to provide housing for the rural poor took off in 1996 as the Indira Awas Yojana and was restructured into the PMAY-G in April 2016. It had a mandate to build a pucca house with basic amenities for all homeless families and for all those living in katcha or dilapidated houses, by March 2022, with the Centre and the States sharing the financial burden in a 60:40 ratio.
As on November 26, 1.65 lakh houses had been completed, according to an official statement on the Cabinet decision. In its response to a Parliamentary Standing Committee report in March, the Rural Development Ministry said COVID-19 had stalled the scheme’s progress in 2020-21 with only 6% of houses sanctioned that year actually achieving completion. The Ministry hopes to complete 2.02 crore houses by August 2022, when the 75th anniversary of Independence is to be celebrated.
“The financial implication for construction of the remaining 155.75 lakh houses [as on March 2021] is ₹2,17,257 crore [Central share ₹1,25,106 crore and State share ₹73,475 rores) for achieving cumulative targets of 2.95 crore houses in rural areas under the PMAY-G and an additional requirement of ₹18,676 crore towards the interest repayment to NABARD,” said an official statement on the Cabinet decision.
It said a decision to phase out extra budgetary resources and finance the entire scheme through Gross Budgetary Support would be taken in consultation with the Finance Ministry.
