Budget Target Of Constructing 2 Crore Additional Houses Shows Govt's Focus On Rural Development

New Delhi: Finance Minister Nirmala Sitharaman's announcement on launching more rural houses under PM Awas Yojana has recieved a thumbs up from the real estate sector.

FM Sitharaman has announced a scheme to help those living in rented accommodations or slums to acquire a house. She also announced building 2 crore more houses for the rural poor in the next five years under the continuing PM Awas Yojana (Grameen).

Sandeep Runwal, President, NAREDCO Maharashtra said, "The commitment to the PM Awas Yojana Grameen, with the target of constructing 2 crore additional houses, continues the government's focus on rural development. Achieving the milestone of 3 crore houses under the rural housing scheme and setting an ambitious target for the next 5 years reflects a significant investment in infrastructure development that addresses a basic need – housing."

He added that the announcement of a new housing scheme for the middle class is particularly noteworthy. 

"This initiative seems to be aimed at addressing the housing needs of those living in substandard conditions like slums and chawls or those burdened by rent. By facilitating home ownership, the government is not only looking to improve living standards but also to stimulate the real estate sector and associated industries," Runwal said.

Gaurav Karnik, Partner and Real Estate Leader, EY India said, "This should also provide an impetus to the ancillary sectors such as cement, steel etc. The extension of the Sovereign and Pension Fund exemption till March 31, 2025 could lead to more investments in the warehosuing and data centre segments."

Rajeev Yadav, MD & CEO at Fincare SFB said that forward-thinking initiatives have been outlined in the budget that highlights a steadfast emphasis on the mantra 'housing for all'.