Over 640 home buyers, under a Central-government funded affordable and middle income housing scheme, took delivery of their houses on Thursday.
Over the next one year over 12,600 flats will be handed over under the scheme, Special Window for Affordable & Mid-Income Housing Fund , a last mile funding facility sponsored by the Central Government. It has supported over 26 projects all over the country
On Thursday, Finance Minister Nirmala Sitharaman virtually handed over the keys to the 640 home buyers under the first project funded under the special window. The project Rivali Park in Mumbai got around funding of ₹120 crore and completed the project in one year.
‘Game changer’
While handing over the keys, Sitharaman said that if Government and banks work together, a difference could be made in the housing sector. As on date, under the scheme, 204 projects with investment of over ₹18,500 crore have been sanctioned benefitting over 1.16 lakh home buyers. .
Later responding to media queries, Irfan A Kazi. Chief Investment Officer of SWAMIH Investment Fund said that the scheme is more construction focused and not loan focused.
Further he mentioned that developer is not required to make repayment before the completion of the project.
Stalled projects
Also, funding is provided only for the designated project. Until and unless the said project is completed, the promoter is not allowed to start a new project or even new phase in the said project, he said while giving details about stringent norms for the fund use.
The fund, set up in 2019, has total commitment of around ₹10,000 crore by the government alongwith matching contribution by banks and LIC, total corpus is set to be ₹25,000 crore. The fund covers stranded projects including those which are NPA (Non-Performing Assets) as well as NCLT (National Company Law Tribunal) projects.