India Housing for All
The Government of India has allocated $83.2 billion for infrastructure creating new export opportunities in real estate development.
Pradhan Mantri Awaas Yojana-Gramin (PMAY-G) is an Indian social welfare program focused on providing “Housing for all by 2022.” The program aims to provide permanent housing with basic amenities to all houseless households and households living in temporary and dilapidated houses in rural areas.
Under the “Housing for All by 2022” initiative, 20 million urban and rural homes for the poor will be constructed by 2022, for an estimated US $31 billion. In India, housing and human settlements in urban areas falls under the Ministry of Housing and Urban Affairs (MoHUA). With the growing population, the MoHUA projected a housing shortage of 30 million units by 2022.
The Central government has identified 305 cities and towns under the “Housing for All by 2022” Mission as areas of focus. Tamil Nadu, Uttar Pradesh, Haryana, Karnataka, Madhya Pradesh and Maharashtra states are notably implementing the building program in earnest.
As defined in the Union Budget, affordable housing projects will continue to qualify for a tax holiday for one year, through March 31, 2022. This tax incentive will encourage developers to invest more into affordable housing.
The government has liberalized foreign direct investment norms which will reduce various bottlenecks for foreign investors. The developers and government are also looking for faster, innovative, and advanced technology of construction, such as prefabricated materials, bricks and fly-ash.