By Accommodation Times News Services
National Housing Bank of India with an aim to meet up the demands for affordable housing entered in to a partnership with Britain’s Department for International Development (DFID) on Monday. As per the partnership deed DFID will fund Rs. 500 crore for a period of seven-year (2013-2019) and a new affordable housing scheme will be launched. The scheme will bring new innovative funding options through targeted inventors.
The funds will be utilized for two objectives Rs. 400 crore will be allotted to NHB for financing the construction of affordable housing units and allotting loan to low-income household. The remaining Rs. 100 crore would be disbursed for technical assistance to strengthen system and for the developments in the upgradation of low-cost rental housing and slums and in green technologies. The scheme will be implemented in eight states of India, which are economically weaker and less developed states Rajasthan, Madhya Pradesh, Orissa, Uttar Pradesh, Bihar, West-Bengal, Chattisgarh and Jharkhand.
The Alan Duncan UK Minister of State for International Development, said, “This partnership is an important and remarkable initiative for affordable housing project and a great example of professional relationship between UK and India’s private sector. The funds raised from UK will be granted as loans to developers to build affordable housing for lower sections, this will be beneficial for about 17, 000 households. Also, low-income families will be mortgaged loans for buying the housing units.”
R. V. Verma chairman and managing director, NHB, said, “For us the partnership is very valuable and the project will be very much beneficial for the low-income states. The partnership is incorporated in order to reduce the gap between demand and supply and provide people with good housing.”