Why in the News?

• Under the Pradhan Mantri Awas Yojana (PMAY), the people of Jharkhand are now going to get their own homes.
• Initially, the central government had announced housing for 1.13 lakh homeless people in the state, but this number has now been increased to 4,19,947.

Key Points:

Pradhan Mantri Awas Yojana (PMAY):

About:

=> It is a major scheme launched by the Government of India with the aim of providing housing to the poor and low-income groups in the country.

=> This scheme was initiated in 2015, with the main goal of providing a roof over everyone's head by 2022.

=> However, the government missed this target and in August 2022 extended the deadline to ensure “housing for all” to December 2024.

=> Under the PMAY, the government has planned to build millions of new houses across the country.

=> This scheme has been particularly important for the rural and urban poor, as many people did not have their own homes.

=> It is especially beneficial for those living in temporary shelters or slums.

Benefits of Pradhan Mantri Awas Yojana:

Affordable Loans: Under PMAY, affordable loans are provided to the poor and lower-middle-class people to buy houses.

=> This is known as the Credit Linked Subsidy Scheme (CLSS).

=> Under this, a subsidy of up to ?2.5 lakh is given, which provides a reduction in the interest rate on loans for buying a house. Women, Scheduled Castes (SC), Scheduled Tribes (ST), and Other Backward Classes (OBC) are given priority.

=> Subsidy: This scheme also provides cash subsidies, which are useful for the construction, repair, or renovation of houses.

=> There are different schemes for rural and urban areas under PMAY.

=> In rural areas, a subsidy of up to ?1.2 lakh is provided for building or improving houses, while in urban areas, a subsidy of up to ?2.67 lakh is given.

=> Quality and Design of Houses: Special attention is given to the quality of houses built under PMAY.

=> Efforts are made to make these houses durable and safe.

=> Additionally, the design of the houses is made in such a way that they are suitable for all weather conditions and comfortable for all family members.

Credit Linked Subsidy:

• People from Economically Weaker Section (EWS), Low Income Group (LIG), and Middle Income Groups (MIG-I and MIG-II) can get interest subsidies of 6.5%, 4%, and 3% on housing loans up to Rs. 6 lakh, Rs. 9 lakh, and Rs. 12 lakh respectively for buying or building houses.